Justia Contracts Opinion Summaries

In two separate actions, seven Massachusetts hospitals and one managed health care organization that disproportionately provided medical care to the poor alleged that the Secretary of the Executive Office of Health and Human Services violated her obligation to reimburse them for the reasonable costs incurred in providing medical services to MassHealth enrollees. A superior court judge granted the Secretary's motion for judgment on the pleadings in one case and the Secretary's motion to dismiss in the other, concluding as a matter of law that the plaintiffs could not prevail even if their allegations were true. The plaintiffs appealed, and the cases were consolidated. The Supreme Court affirmed the decisions denying the plaintiffs' claims, holding that the plaintiffs' redress for their claims rested in the political arena, not in the courts. View "Boston Med. Ctr. v. Sec'y of the Executive Office of Health & Human Servs." on Justia Law

Plaintiff filed a complaint alleging that Defendant committed a breach of a settlement agreement with the town by failing to remove mulch from property owned by Plaintiff. Defendant filed a special motion to dismiss under the anti-SLAPP (Strategic Lawsuit Against Public Participation) statute, contending that the civil claim was intended to retaliate, deter, and punish Defendant solely for engaging in the constitutionally protected activity of petitioning the town. The motion was denied. On interlocutory appeal, the Supreme Court affirmed the denial, holding that Defendant failed to meet its required threshold showing that Plaintiff's claim of breach of the settlement agreement was based on Defendant's exercise of its right to petition. View "Marabello v. Boston Bank Corp." on Justia Law

Two physicians who contracted with HMOs refused to accept capitation payments in place of fee-for-service payments, so the HMOs dropped the physicians' contracts. The physicians brought constitutional and antitrust claims against the companies, which the district court rejected on a motion to dismiss. The physicians appealed. The First Circuit Court of Appeals affirmed, holding (1) because the appellees were not governmental actors, Appellants' constitutional claims failed; and (2) because the appellees that Appellants contended violated the Sherman Act were not independent firms and were, rather, wholly owned subsidiaries of the same parent company, the appellees could not have violated the Act's conspiracy prohibition. View "Gonzalez-Maldonado v. MMM Health Care, Inc." on Justia Law

This case arose out of a leasing agreement between Contour and the Seminole Tribe. Contour appealed from a district court order dismissing its Amended Complaint for lack of subject matter jurisdiction on account of the Tribe's sovereign immunity. The district court rejected Contour's arguments and affirmed the judgment. Because the problems of inconsistency and unfairness that were inherent in the procedural posture of Lapides v. Bd. of Regents of the Univ. Sys. of Ga. were absent in this case, and because an Indian tribe's sovereign immunity was of a far different character than a state's Eleventh Amendment immunity, the court declined to extend Lapides. In regards to Contour's Indian Civil Rights Act, 25 U.S.C. 1301-1303, claim, it must fail because the Supreme Court had already held that Indian tribes were immune from suit under the statute. Finally, in regards to the equitable estoppel claim, that claim was unavailable because it was grounded on a waiver provision contained within a lease agreement that was wholly invalid as a matter of law. View "Countour Spa at the Hard Rock, v. Seminole Tribe of Florida, et al." on Justia Law

Candice Brilz filed an action in Montana state court purportedly asserting statutory and common law bad-faith claims against Metropolitan General Insurance Company (Metropolitan). Metropolitan removed the action to federal court and filed a motion for summary judgment, which the federal court granted. Thereafter, Brilz commenced this suit district court seeking a determination that she may pursue her common law bad-faith claim against Metropolitan. Because the statute of limitations on that claim had since expired, Brilz requested a ruling that she may pursue the claim pursuant to 27-2-407, MCA, or the Supreme Court's doctrine of equitable tolling. The District Court dismissed the action, and Brilz appealed. The Supreme Court concluded that principles of claim preclusion barred her from filing a second action against Metropolitan arising out of the same underlying facts. Accordingly the Court affirmed the District Court's judgment. View "Brilz v. Metropolitan General Ins." on Justia Law

Strata Corporation and Liberty Mutual Fire Insurance Company appealed a partial summary judgment dismissing Liberty Mutual's subrogation claim against United Crane & Excavation, Inc., after the district court certified the partial summary judgment as final under N.D.R.Civ.P. 54(b). Because this case did not represent the "infrequent harsh case for immediate appeal and subsequent proceedings in the district court may moot the issue raised on appeal," the district court improvidently certified the partial summary judgment as final and the Supreme Court dismissed the appeal. View "City of Mandan v. Strata Corp." on Justia Law

Highlands of Lay, LLC ("Highlands") appealed a default judgment entered in favor of Edward O. Murphree. Murphree sued Highlands and John J. Miller, who Murphree alleged was a member of Highlands and its authorized agent. Murphree alleged fraudulent concealment, fraudulent misrepresentation, negligent misrepresentation, promissory estoppel, and breach of contract, arising out of a real-estate transaction. After he amended his complaint, Murphree was not able to obtain service upon Highlands or Miller, and the trial court granted a motion to serve them by publication. Highlands and Miller answered, and Highlands filed a counterclaim alleging negligence. Murphree then served discovery requests on Highlands. Murphree later sent additional discovery requests to Highlands and Miller; Highlands and Miller did not respond. When Highlands and Miller continued to be unresponsive to the suit, Murphree moved for a default judgment. Upon review of the case, the Supreme Court found that some of the issues presented in the then-still pending claim against Miller were the same issues presented in this appeal by Highlands. Highlands argued that the trial court erred in not setting aside the default judgment against it because it had a meritorious defense to Murphree's claims based on Miller's statements or e-mail from Miller and the timing of statements or e-mail to Murphree. "Appellate review in piecemeal fashion is not favored." The Court concluded that the trial court exceeded its discretion in certifying the judgment entered against Highlands as final pursuant to Rule 54(b). Highlands' appeal was therefore dismissed. View "Highlands of Lay, LLC v. Murphree " on Justia Law

Plaintiffs-Appellants Wayne and Sandra Masloskie sued real estate agent G. Pat Baldwin and Century 21 American Real Estate Inc. on a number of causes of action including actual fraud. Baldwin and Century 21 moved for summary judgment, arguing that all causes of action were barred by statutes of limitation governing realtor malpractice. The circuit court granted summary judgment dismissing all claims. Plaintiffs appealed the dismissal of their cause of action for fraud. Because that cause of action was subject to a longer statute of limitations, the Supreme Court reversed and remanded that portion of the judgment. View "Masloskie v. Century 21 American Real Estate, Inc." on Justia Law

The Supreme Court granted leave in two cases to address the question whether a person injured while driving a motor vehicle that the person had taken contrary to the express prohibition of the owner may avail himself or herself of personal protection insurance benefits (PIP benefits) under the no-fault act, notwithstanding the fact that MCL 500.3113(a) bars a person from receiving PIP benefits for injuries suffered while using a vehicle that he or she "had taken unlawfully, unless the person reasonably believed that he or she was entitled to take and use the vehicle." Upon review, the Supreme Court held that any person who takes a vehicle contrary to a provision of the Michigan Penal Code (including MCL 750.413 and MCL 750.414, the "joyriding" statutes) has taken the vehicle unlawfully for purposes of MCL 500.3113(a). Furthermore, the Court held that the use of the phrase "a person" in MCL 500.3113(a) "clearly and plainly" includes a family member who has taken a vehicle unlawfully, thereby precludes that person from receiving PIP benefits. View "Spectrum Health Hospitals v. Farm Bureau Mutual Ins. Co. of Michigan" on Justia Law

Plaintiff, Pervasive Software Inc., a Delaware corporation having its principal office in Austin, Texas, sued Defendant, Lexware GmbH & Co. Kg, a corporation organized under the laws of the Federal Republic of Germany, for damages and injunctive relief on the basis of breach of contract, quantum meruit, unjust enrichment, and conversion in a Texas state court. Lexware removed the case to the federal district court, and that court, in response to Lexware's motion, dismissed the case for lack of personal jurisdiction over Lexware. Pervasive appealed. The Fifth Circuit Court of Appeals affirmed, concluding that Pervasive had failed to establish a prima facie case that Lexware minimum contacts with Texas to support the exercise of either specific or general personal jurisdiction over Lexware.