
Justia
Justia Contracts Opinion Summaries
Universal Trading & Investment Co. v. Bureau for Representing Ukrainian Interests
The First Circuit affirmed the judgment of the district court dismissing all breach of contract claims brought by Universal Trade-in & Investment Company (UTICo) against Ukraine, the Ukrainian Prosecutor General's Office (UPGO), and the Bureau for Representing Ukrainian Interests in International and Foreign Courts, and denying UTICo's motions to amend the complaint and several of its discovery-related requests, holding that there was no error.UTICo, which was instrumental in helping the defendants investigate and freeze millions of dollars of worldwide assets that had been expatriated from Ukraine, alleged, among other things, that the defendants breached their contractual duties. The district court dismissed the breach of contract claims and entered judgment in favor of the Ukrainian defendants. The First Circuit affirmed, holding that the district court (1) did not err in granting summary judgment on the portion of the breach of contract claim related to Swiss assets that were transferred to the Ukrainian treasury; and (2) did not err in denying UTICo's three motions to amend. View "Universal Trading & Investment Co. v. Bureau for Representing Ukrainian Interests" on Justia Law
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Contracts, US Court of Appeals for the First Circuit
Sunder Energy, LLC v. Jackson
The Court of Chancery denied Sunder Pros LLC's application for a preliminary injunction against Tyler Jackson because Sunder could not establish a reasonable likelihood of success on the merits and further denied Sunder's application for a preliminary injunction against the remaining defendants for lack of an underlying breach of contract.Jackson, the former head of Sunder's sales who lived in Texas, joined Solar Pros, LLC and resigned from Sunder. Sunder, whose headquarters were in Utah but was a Delaware LLC, brought this suit arguing that Jackson was bound by restrictive covenants (the covenants). The Court of Chancery denied relief, holding (1) the covenants, which were facially unreasonable in their own right, were part of an agreement that could not be enforced against Jackson because the agreement originated in an egregious breach of fiduciary duty; and (2) as to the remaining Defendants, there was no underlying breach of contract, and Defendants did not engage in conduct that could support a claim for tortiously interfering with the covenants as required by Utah law. View "Sunder Energy, LLC v. Jackson" on Justia Law
Pagel, et al. v. Weikum
Jeffrey Weikum appealed a district court order and judgment denying his motion to compel arbitration, and granting Rodney Pagel and Scott Hager's motion for summary judgment. The parties agreed to dissolve their law firm, Pagel Weikum, PLLP, and entered into a Release and Settlement Agreement. The Agreement included an arbitration clause. Pagel and Hager filed suit against Weikum for breach of contract and conversion. Weikum moved to dismiss and compel arbitration. The North Dakota Supreme Court reversed, finding the arbitration clause at issue in the Agreement was broad, and not limited by any exceptions. The Court concluded the district court misinterpreted the Agreement by finding the claims raised were not arbitrable, and by denying the motion to compel arbitration of those claims. View "Pagel, et al. v. Weikum" on Justia Law
Olson Family Limited Partnership v. Velva Parks, LLC
In Dencember 2022, Olson Family Limited Partnership (“Olson”) served a summons and complaint on Velva Parks, LLC through Velva Parks’ registered agent, Legalinc Corporate Services Inc. (“Legalinc”). Olson alleged it entered into a contract for deed with Velva Parks for the sale of its mobile home park to Velva Parks. Olson alleged Velva Parks breached their contract for deed by failing to pay the final balloon payment of $406,414 when it became due December 1, 2022. Olson sought to have the contract judicially terminated and canceled. Velva Parks appealed an order denying its motion to vacate the default judgment entered after Velva Parks failed to answer or otherwise appear withn 21 days after being served with the summons and complaint. The North Dakota Supreme Court affirmed, concluding the district court did not abuse its discretion in denying Velva Parks’ motion to vacate. View "Olson Family Limited Partnership v. Velva Parks, LLC" on Justia Law
State of Cal. v. Alco Harvest
Plaintiff is a foreign worker hired by defendant Alco Harvesting LLC to work at farms owned by defendant and appellant Betteravia Farms. He later brought employment claims against appellants. Alco moved to compel arbitration pursuant to an arbitration agreement presented to and signed by Plaintiff at his orientation. The trial court found the agreement void and denied the motion. It considered arbitration a “material term and condition” of Plaintiff’s employment and as such, a job requirement that Alco should have disclosed during the H-2A certification process.
The Second Appellate District affirmed. The court explained that Alco’s arbitration agreement required Plaintiff to forfeit his right to a jury trial in “any claim, dispute and/or controversy that [any] Employee may have against the Company . . . arising from, relating to or having any relationship or connection whatsoever with [or to the] Employee’s . . . employment by, or other association with the Company . . . .” The arbitration agreement also prohibited him from participating in any class action claims against Alco. Thus, the court considered the relinquishing of these rights as “material terms and conditions” of his employment. View "State of Cal. v. Alco Harvest" on Justia Law
Mellowitz v. Ball State University
The Supreme Court affirmed the order of the trial court directing that while Plaintiff may pursue his claims against Ball State University based on its response to the COVID-19 pandemic on his on behalf, he may not pursue a class action on behalf of other students, holding that there was no error.Plaintiff, a university student, sued the University for breach of contract and unjust enrichment after the university switched to providing only online instruction for the 2020 spring semester, seeking to recover tuition and fees for in-person instruction and services allegedly promised by the university. Plaintiff sought to litigate his claims as a class action, but after he filed his action, Public Law No. 166-2021 was signed into law, prohibiting class action lawsuits against postsecondary educational institutions for contract and unjust enrichment claims arising from COVID-19. The trial court denied class certification based on this new law. The Supreme Court affirmed, holding that the trial court correctly concluded that the law was constitutional and precluded a class action in this case. View "Mellowitz v. Ball State University" on Justia Law
Brettler v. Allianz Life Insurance Co. of North America
The Court of Appeals answered in the affirmative a certified question asked by the United States Court of Appeals for the Second Circuit asked the Court of Appeals in this case centering around a life insurance policy providing that "assignment will be effective upon Notice" in writing to the insurer.Specifically, the Court of Appeals answered that, when a life insurance policy provides that "assignment will be effective upon Notice" in writing to the insurer, the insured's failure to provide to the insurer written notice of the policy's assignment voids the assignment so that the purported assignee does not have contractual standing to bring a claim under the policy. Accordingly, the Court held that the insured in this case lacked authority under the contract at issue to sue the insurer. View "Brettler v. Allianz Life Insurance Co. of North America" on Justia Law
Empres at Riverton, LLC v. Osborne
The Supreme Court reversed the judgment of the district court denying Wind River Rehabilitation and Wellness's motion to compel arbitration in this action alleging medical malpractice, holding that the district court erred in denying the motion to compel arbitration.Plaintiff, the wrongful death representative of Loy Forshee, filed this action against Wind River, where Forshee lived when he fell and broke his hip, alleging medical malpractice. Wind River moved to compel arbitration under the parties' arbitration agreement. The district court denied the motion, concluding that Wind River waived his right to arbitration by waiting fourteen months to compel arbitration. The Supreme Court reversed, holding that the record did not support a conclusion that Wind River waived its right to arbitrate. View "Empres at Riverton, LLC v. Osborne" on Justia Law
Riverhills Capital Corporation, et al. v. At Home Care, Inc.
At Home Care, Inc. filed suit against RiverHills Capital Corporation and others for breach of contract, fraud, and for quiet title surrounding a lease on real property that At Home Care purchased. RiverHills Capital Corporation filed a motion to transfer the case to chancery court, alleging that the chancery court had subject-matter jurisdiction because, in essence, At Home Care could not succeed on the merits of its legal claims. The circuit court denied its motion. Because the circuit court did not err by denying the motion to transfer, the Mississippi Supreme Court affirmed and remanded this case to the circuit court. View "Riverhills Capital Corporation, et al. v. At Home Care, Inc." on Justia Law
RUAG Ammotec GmbH v. Archon Firearms, Inc.
The Supreme Court reversed the order of the district court as to Appellants' motions to compel arbitration and remanded the case, holding that "where the nonsignatory seeking to compel arbitration demonstrates both the right to enforce the contract and that compelling another nonsignatory to arbitration is warranted under standard principles of contract law or estoppel, compelling arbitration is appropriate."At issue was whether a nonsignatory to a contract containing an arbitration clause can be compelled to participate in arbitration by another signatory. The district court denied both Appellants' first and second motions to compel arbitration. The Supreme Court reversed as to Appellants' first and second motions to compel arbitration, holding where a nonsignatory to a contract containing an arbitration provision moves to compel another nonsignatory to arbitrate, the nonsignatory seeking to compel arbitration must demonstrate the right to enforce the arbitration agreement and show that compelling the other nonsignatory to arbitration is warranted. View "RUAG Ammotec GmbH v. Archon Firearms, Inc." on Justia Law