Justia Contracts Opinion Summaries
Articles Posted in Contracts
FinSight I LP v. Seaver
The First Circuit affirmed the decision of the district court entering summary judgment in favor of Defendants on Plaintiffs' claims for breach of contract and other related causes of action, holding that the district court properly granted summary judgment in Defendants' favor.Plaintiff and Defendants negotiated the terms of a stock transfer agreement (STA) through an exchange of emails. Later, Defendants terminated the STA pursuant to the contract's termination clause, and Plaintiff sued. The district court entered summary judgment for Defendants, concluding (1) no enforceable contract had been formed, and (2) even if the STA constituted an enforceable contract, Defendants properly exercised their right of termination. The First Circuit affirmed, holding (1) Defendants' properly exercised their termination right; and (2) Plaintiffs' two alternative theories of recovery were unavailing. View "FinSight I LP v. Seaver" on Justia Law
Posted in:
Contracts, US Court of Appeals for the First Circuit
White v. Jernigan Copeland Attorneys, PLLC
Jernigan Copeland Attorneys, PLLC (JCA), a law firm practicing out of Ridgeland, Mississippi, filed suit against Shad White, in his official capacity as auditor for the state of Mississippi, seeking to recover damages for services rendered and for the reimbursement of costs and expenses owed to a public relations firm. A circuit court found that, because discovery had not been completed in the case, genuine issues of material fact remained. Thus, it denied the office of the state auditor’s (OSA) motion to dismiss or, alternatively, for summary judgment. Because JCA failed to submit evidence creating a genuine issue of material fact that the employment contract complied with statutory requirements, and because JCA’s alternative claims were barred by the applicable statute of limitations, the Mississippi Supreme Court reversed the trial court’s denial of summary judgment. View "White v. Jernigan Copeland Attorneys, PLLC" on Justia Law
Blaskiewicz v. Spine Institute of Idaho
Neurosurgeon Donald Blaskiewicz, M.D. went to work for the Spine Institute of Idaho (the “Spine Institute” or the “Institute”) in 2018. The Spine Institute entered into a Professional Services Agreement (the PSA) with Blaskiewicz containing a non-compete clause, contractually proscribing Blaskiewicz from practicing medicine within fifty miles of the Spine Institute’s office (with an explicit exception for Caldwell) for a period of eighteen months, should his employment with the Spine Institute be terminated for any reason. Pursuant to the PSA, Blaskiewicz had two ways to avoid the non-compete clause: he could either get permission from the Spine Institute to practice medicine within the proscribed area, or he could pay the Spine Institute $350,000 in “liquidated damages.” The PSA also required any disputes to be resolved by arbitration. Less than a year and a half after hiring Blaskiewicz, the Spine Institute terminated his employment. Blaskiewicz filed suit in district court, seeking a declaratory judgment that the non-compete clause was unenforceable. The district court concluded that the non-compete clause was against public policy and void as a matter of law, and granted summary judgment in favor of Blaskiewicz. The Idaho Supreme Court reversed, finding the district court did not cite or analyze the statutes governing non-compete agreements in Idaho. The Court concluded there were genuine issues of material fact such that summary judgment was inappropriate as to whether the non-compete provision was void as a matter of public policy or otherwise enforceable. View "Blaskiewicz v. Spine Institute of Idaho" on Justia Law
PLANNED PARENTHOOD FEDERATION, ET AL V. CENTER FOR MEDICAL PROGRESS, ET AL
Defendants used fake driver’s licenses and a false tissue procurement company as cover to infiltrate conferences that Planned Parenthood hosted or attended. Using the same strategy, defendants also arranged and attended lunch meetings with Planned Parenthood and visited Planned Parenthood health clinics. During these conferences, meetings, and visits, defendants secretly recorded Planned Parenthood staff without their consent. After secretly recording for roughly a year-and-a-half, Defendants released on the internet edited videos of the secretly recorded conversations. After a jury trial, the district court entered judgment in favor of Planned Parenthood and awarded it statutory, compensatory, and punitive damages as well as limited injunctive relief.
The Ninth Circuit affirmed in part and reversed in part the district court’s judgment, after a jury trial, in favor of Planned Parenthood Federation of America, Inc., and other plaintiffs on claims of trespass, fraud, conspiracy, breach of contracts, unlawful and fraudulent business practices, violating civil RICO, and violating various federal and state wiretapping laws. Affirming in part, the panel held that the compensatory damages were not precluded by the First Amendment. The panel held that under Cohen v. Cowles Media Co., 501 U.S. 663 (1991), and Animal Legal Def. Fund v. Wasden, 878 F.3d 1184 (9th Cir. 2018), facially constitutional statutes apply to everyone, including journalists. The panel reversed the jury’s verdict on the claim under the Federal Wiretap Act, 18 U.S.C. Section 2511(2)(d), and vacated the related statutory damages for violating this statute. View "PLANNED PARENTHOOD FEDERATION, ET AL V. CENTER FOR MEDICAL PROGRESS, ET AL" on Justia Law
Phillip Alig v. Rocket Mortgage, LLC
Plaintiffs in this class action are a class of all West Virginia citizens who refinanced a total of 2,769 mortgages with Defendant Quicken Loans Inc. (now Rocket Mortgage, LLC) from 2004 to 2009, for whom Quicken Loans obtained appraisals from Defendant appraisal management company Title Source, Inc. (now Amrock Inc.) using a request form that included an estimate of value of the subject property. The district court certified the proposed class and granted summary judgment to Plaintiffs on three claims: unconscionable inducement under West Virginia Code Section 46A-2-121(a)(1); breach of contract; and conspiracy.
Previously the Fourth Circuit concluded that Plaintiffs had standing because all of the class members had paid “for independent appraisals that . . . they never received”. Three months later, the Supreme Court issued its opinion in TransUnion LLC v. Ramirez, which addressed Article III standing in the context of a class-action case. Having considered the parties' submissions, the Fourth Circuit concluded that the district court should apply TransUnion to the facts of this case in the first instance. Accordingly, the court vacated and remanded for further proceedings. View "Phillip Alig v. Rocket Mortgage, LLC" on Justia Law
Cochran v. CIS Financial Services, Inc.
Alicia Cochran appealed a circuit court order that granted her former employer, CIS Financial Services' motion for a preliminary injunction. CIS was engaged in the mortgage-origination business and employed Cochran as a branch loan originator. In June 2021, Cochran's supervisor at CIS, Randy Lowery, left his employment at CIS to accept a position with Movement Mortgage, LLC ("Movement"). Another CIS employee, Geremy Reese, also left CIS to work for Movement. CIS thereafter filed suit against Lowery and Reese. Among other things, CIS requested in its complaint injunctive relief against Lowery and Reese. Additionally, CIS filed that same day a motion for a preliminary injunction against Lowery and Reese. On August 31, 2021, Cochran resigned her position with CIS. CIS then amended its complaint to include Cochran and Movement as defendants. The only specific count that CIS asserted against Cochran in the amended complaint was one alleging breach of contract. Then CIS moved for the preliminary injunction against Cochran at issue here. On appeal, Cochran challenged the propriety of the circuit court's order granting CIS's motion for a preliminary injunction, arguing that the respective restraining provisions of her compensation agreement and nonsolicitation agreement were not enforceable against her. However, CIS moved to dismiss Cochran's appeal as moot, noting that, by its terms, the preliminary injunction expired after August 31, 2022. CIS argued that this appeal no longer presented a justiciable controversy and that the Alabama Supreme Court, therefore, lacked jurisdiction over the appeal. The Supreme Court found the preliminary injunction challenged in Cochran's appeal expired by its own terms. Consequently, the Supreme Court lacked the power to grant Cochran relief from the preliminary injunction; therefore, this appeal was no longer justiciable and has become moot. The appeal was therefore dismissed. View "Cochran v. CIS Financial Services, Inc." on Justia Law
Schreiber Brothers Hog Co. v. Schreiber
The Supreme Court dismissed in part and reversed in part Appellant's appeal of the district court's rulings finding that Jerald Schreiber was unjustly enriched and ordering him to pay an additional $400,184 to a limited liability company (LLC) he owned in equal shares with his brother, Steven Schreiber, holding that the district court erred in part.Steven brought a complaint seeking the dissolution of the LLC at issue. The district court ordered dissolution and directed a receiver to liquidate the LLC's assets, including two buildings owned by the company but located on property owned by Jerald. Because Jerald made the sole offer to purchase the buildings, the parties agreed that the district court should order the receiver to accept the offer but that Steven and the LLC could continue to pursue a claim of unjust enrichment. The district court concluded that Jerald had been unjustly enriched and denied Jerald's motion asking the district court to provide further directions to the receiver. The Supreme Court (1) dismissed the order denying Jerald's motion for further directions for lack of jurisdiction; and (2) reversed the district court's order finding that Jerald was unjustly enriched, holding that the district court erred. View "Schreiber Brothers Hog Co. v. Schreiber" on Justia Law
Trujillo v. City of L.A.
Plaintiff sued the City for its negligence in maintaining the City-owned sidewalk in a dangerous condition. The City moved for summary judgment on the ground that the sidewalk was not a “dangerous condition”. Although the hearing was not transcribed, the trial court concluded the hearing by orally granting the City’s motion for summary judgment. Just four minutes after the summary judgment hearing concluded, Plaintiff’s counsel sent the City an email purporting to accept the City’s 998 offer. The City objected to Plaintiff’s attempt to accept its 998 offer after the trial court had ruled on its summary judgment motion. The trial court entered judgment for the City, implicitly ruling that Plaintiff’s acceptance of the City’s 998 offer was inoperative. Plaintiff filed a timely notice of appeal of the May 7, 2021 judgment.
At issue on appeal is whether a 998 offer automatically expires when a trial court orally grants the offeror’s summary judgment motion. The Second Appellate District affirmed. The court explained that the trial court properly concluded that the City’s 998 offer expired by the time plaintiff purported to accept it. Like any other contractual offer, a 998 offer is not accepted until that acceptance is communicated to the offeror. Here, because Plaintiff did not communicate her acceptance of the City’s 998 offer until after the trial court orally granted summary judgment to the City, the acceptance was not effective as there was no longer any operative 998 offer to accept. View "Trujillo v. City of L.A." on Justia Law
Tadych v. Noble Ridge Constr., Inc.
Gregory and Sue Tadych filed suit after the one-year limitation period to bring a construction defect suit expired. The trial court entered summary judgment, dismissing the suit and upholding the contractual limitation. The Court of Appeals affirmed. The Washington Supreme Court found the contractual limitation here was substantively unconscionable and, therefore, void and unenforceable. "The one-year limitation provision provides a substantially shorter limitations period than plaintiffs are otherwise entitled to under RCW 4.16.310 and benefits the contractor at the expense of the rights of the homeowner." Judgment was reversed and the matter remanded for trial. View "Tadych v. Noble Ridge Constr., Inc." on Justia Law
Kaiser Trucking, Inc. v. Liberty Mutual Fire Insurance Co.
The Supreme Court reversed the judgment of the circuit court in favor of Liberty Mutual Fire Insurance Company in this insurance dispute, holding that the circuit court improperly dismissed the complaint for failure to state a claim upon which relief can be granted.An agent of Kaiser Trucking was in an automobile accident with Liberty Mutual's insured. The circuit court granted default judgment for Kaiser Trucking and its agent. After the judgments were returned unsatisfied, Kaiser and its agent brought this action against Liberty Mutual seeking indemnification of the judgments against its insured. Liberty Mutual filed a motion to dismiss under S.D. Codified Laws 15-6-12(b)(5), arguing that Plaintiffs failed to plead a condition precedent to coverage under the policy. The circuit court agreed and dismissed the complaint. The Supreme Court reversed, holding that Kaiser Trucking, Inc. was not required to plea satisfaction of conditions precedent in the relevant insurance policy sufficiently to state a claim upon which relief could be granted and avoid a Rule 12(b)(5) dismissal of its complaint. View "Kaiser Trucking, Inc. v. Liberty Mutual Fire Insurance Co." on Justia Law