Justia Contracts Opinion Summaries

The case involves Alejandro Cortés-López, who was serving a 24-month prison term after pleading guilty to conspiracy to commit mail and wire fraud. Cortés-López had entered into a plea agreement with the government, admitting to a fraudulent financial scheme that solicited residents in Puerto Rico to invest in short-term, high-interest loans in the Dominican Republic. The plea agreement stipulated a total offense level (TOL) of 18, which, combined with a criminal history category of I, suggested a guidelines sentencing range (GSR) of 27-33 months' imprisonment. However, both parties agreed to jointly request a variant sentence of 24 months of probation.The Presentence Investigation Report (PSR) calculated a higher TOL due to the financial fraud scheme resulting in more than $5.4 million in losses to the investors. Cortés-López objected to these enhancements, but the probation office maintained that the higher loss amount and additional enhancement were correct. At the sentencing hearing, the government acknowledged the PSR's calculation but stated it was standing by its plea agreement recommendation of 24 months of probation. The district court, however, imposed a sentence of 24 months' imprisonment, followed by 3 years of supervised release and $5.4 million in restitution.Cortés-López appealed, arguing that the government breached the plea agreement by supporting the higher TOL calculated in the PSR and failing to advocate meaningfully for the agreed-upon 24-month probation sentence. The United States Court of Appeals for the First Circuit agreed, finding that the government's conduct at the sentencing hearing was a breach of the plea agreement. The court vacated Cortés-López's sentence and remanded the case for further proceedings. View "United States v. Cortes-Lopez" on Justia Law

The case involves a group of grocery store owner-operators and their related company, Anchor Mobile Food Markets, Inc. (AMFM), who sued Onex Partners IV, Onex Corporation, Anthony Munk, and Matthew Ross (collectively, Onex) for violations of Missouri common law and the Racketeer Influenced and Corrupt Organizations Act (RICO). The owner-operators had invested in the discount grocery chain Save-A-Lot and its independent licensee program, which turned out to be a disastrous investment. They alleged that Onex, which had acquired Save-A-Lot, had fraudulently induced them into the investment.The United States District Court for the Eastern District of Missouri had granted summary judgment to Onex. The court found that the owner-operators had signed multiple contractual releases and anti-reliance disclaimers before opening their stores, which barred their claims. The owner-operators and AMFM argued that these releases and disclaimers were fraudulently induced.The United States Court of Appeals for the Eighth Circuit affirmed the district court's decision. The court found that the owner-operators failed to raise a genuine dispute of material fact that they were fraudulently induced to enter the releases. The court also found that the releases were valid and barred the owner-operators' claims. The court further found that AMFM's claims against Onex failed, as neither Save-A-Lot nor Onex had contracted with AMFM. Finally, the court affirmed the district court's denial of the owner-operators and AMFM's request for leave to amend their complaint. View "SBFO Operator No. 3, LLC v. Onex Corporation" on Justia Law

The United States Court of Appeals for the Tenth Circuit affirmed convictions against Whitney McBride and her company, Odyssey International Inc., for fraudulent conduct in obtaining a government contract. McBride was convicted of five offenses, including wire fraud, major fraud, and making a false declaration. She appealed the convictions, arguing that they should be vacated based on a Supreme Court case decided after her conviction, Ciminelli v. United States, which dealt with the interpretation of federal fraud statutes. She also contended that her conviction for making a false declaration should be vacated due to errors in the jury instructions.The court rejected her arguments, finding that she had waived her challenges to the convictions for conspiracy, wire fraud, and major fraud because she invited error by proffering the jury instruction she now disputed. The court also found that she waived her challenges due to her numerous procedural errors, including failing to argue for plain error on appeal and failing to meet the requirements of the Federal Rules of Appellate Procedure. The court concluded that she had waived her arguments and affirmed her convictions. View "United States v. McBride" on Justia Law

In this breach-of-contract dispute, the United States Court of Appeals for the Eighth Circuit upheld the decision of the District Court of Minnesota, which rejected Reach Companies, LLC's appeal for a new trial after a jury awarded $1,196,364 in damages to Newsert, LLC and David Serata. Reach Companies, a distributor of hand sanitizers, alleged that Newsert, a wholesaler of the same products, continued accepting late shipments despite delays and price fluctuations. Newsert countered that Reach failed to fulfill all but one of its purchase orders, causing Newsert to lose two customers. The court found that the purchase orders were unambiguous with respect to their terms, rejecting Reach’s argument that the "must ship by" dates were simply aspirational. The court also held that the evidence presented at trial was sufficient to prove Newsert's lost profits with reasonable certainty, dismissing Reach's argument that the losses were speculative and didn't account for overhead. Lastly, the court allowed the admission of evidence of prior criminal convictions of Reach’s Vice President for impeachment purposes, as the crimes involved fraud and deceit and were thus relevant to the issues in the case. View "Reach Companies, LLC v. Newsert, LLC" on Justia Law

The United States Court of Appeals for the Second Circuit considered an appeal from a judgment of the United States District Court for the Southern District of New York, which dismissed a plaintiff's 2019 complaint against art dealers for fraud, negligent misrepresentation, breach of warranty, and rescission in connection with his 2001 purchase of an allegedly forged painting. The district court dismissed the plaintiff's claims as time-barred and ruled that the plaintiff's fraud claim could not be granted relief. The plaintiff appealed, arguing that the district court erred in concluding that he was on inquiry notice of the alleged fraud before bringing the suit. The appellate court agreed with the district court that claims for breach of warranty, negligent misrepresentation, and rescission were time-barred under New York law. However, the court concluded that the district court erred in ruling that the fraud claims were time-barred and in denying the plaintiff's request for leave to amend his complaint. The case was affirmed in part, vacated in part, and remanded for further proceedings. View "Meyer v. Seidel" on Justia Law

In the State of Montana v. Sky M. Little Coyote, the Supreme Court of Montana dealt with an appeal by Little Coyote, who had been incarcerated and was appealing the revocation of his suspended sentence. Little Coyote argued that his time served had been incorrectly calculated and that, when correctly accounted for, his sentence had already expired before the State filed its revocation petition. The State argued that Little Coyote was bound by an agreement he had entered into regarding the time served.The Supreme Court reversed the lower court's decision and remanded the case for dismissal of the State's Petition for Revocation. The court found that Little Coyote's time served had indeed been inaccurately calculated. It ruled that the parties involved had been operating under a mutual mistake regarding the time Little Coyote had served. The court held that, when correctly calculated and credited, Little Coyote's sentence had expired nearly three months before the State filed its revocation petition. Thus, the disposition imposed on Little Coyote was deemed illegal as the lower court had lacked the authority to revoke or impose a disposition after the expiration of his sentence. View "State v. Little Coyote" on Justia Law

The Supreme Court affirmed the judgment of the trial court denying Defendant's motion to suppress statements he had made during two separately recorded interrogations of him by police officers, holding that the trial court properly denied Defendant's motion to suppress.The two interrogations at issue occurred on the same day. As to the first interrogation, Defendant claimed that the police failed to advise him of his rights pursuant to Miranda v. Arizona, 384 U.S. 436 (1966). Defendant further claimed that the second interrogation was tainted by the alleged illegality of the first interrogation. The trial court denied the motion to suppress and, following a jury trial, convicted Defendant of manslaughter in the first degree with a firearm. The Supreme Court affirmed, holding (1) Miranda warnings were not required for the first interrogation because it was not custodial; and (2) the failure to provide the warnings did not taint the second interrogation. View "State v. Brandon" on Justia Law

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

In August 2018, Surety posted a $100,000 bond for Lee's release from the San Mateo Jail. On September 13, Lee failed to appear at a scheduled preliminary hearing. The court issued a bench warrant and ordered the bail forfeited. On September 21, the clerk of the court mailed a “Notice of Order Forfeiting Bail” to Surety. On March 25, 2019, Surety moved to vacate the forfeiture and exonerate the bail. Supporting exhibits indicated that Lee was in custody in Alameda County on federal charges and that the San Mateo County District Attorney’s Office had been notified of that detention. Surety argued that the court was required to vacate the forfeiture and exonerate the bail under Penal Code 1305(c)(3) because Lee had been surrendered by the bail agent to local law enforcement agencies; if the district attorney were to choose not to extradite, exoneration of bail was required under section 1305(f); and if the district attorney were to place a hold on Lee, the court should exonerate bail under section 1305(i) and (c)(3). As alternative relief, Surety requested tolling urging that Lee was disabled from appearing in court. The District Attorney elected to extradite Lee.The trial court denied Surety’s motions. The court of appeal ordered the trial court to exonerate the bond, noting that it failed to timely enter summary judgment and now lacks jurisdiction to enforce the forfeiture. View "People v. Bankers Insurance Co." on Justia Law

The Supreme Court affirmed the judgment of the district court dismissing Appellant's cause of action for unjust enrichment against the State, holding that the district court correctly dismissed the matter as an unlawful collateral attack on Appellant's criminal conviction.Appellant pleaded guilty to speeding in a construction zone. Appellant later filed a lawsuit challenging the authority of Iowa Department of Transportation (IDOT) officers to issue traffic citations and contesting the payments the State collected from fines resulting from convictions on unauthorized IDOT-issued citations. The district court held (1) the IDOT officers, at the time, lacked authority to stop Defendant's vehicle; and (2) Appellant's unjust enrichment claim was an improper collateral attack on his conviction, warranting dismissal. The Supreme Court affirmed, holding that the district court correctly concluded that Appellant's unjust enrichment claim was an improper collateral attack on his speeding ticket conviction. View "Rilea v. State" on Justia Law