Justia Contracts Opinion Summaries
Articles Posted in Real Estate & Property Law
State v. Arizona Board of Regents
The Supreme Court affirmed in part and reversed in part the judgment of the tax court dismissing Counts I through III of the Attorney General's complaint and granting summary judgment on Count IV, holding that the tax court erred in part.At issue was the scope of three statutes the Attorney General (AG) invoked to challenge an agreement between the Arizona Board of Regents (ABOR) and a private company for the company to construct and operate a hotel and conference center on property owned by ABOR. The Supreme Court held (1) to initiate an action under Ariz. Rev. Stat. 42-1004(E) there must be an applicable tax law to enforce; (2) the AG may bring a quo warranto action pursuant to Ariz. Rev. Stat. 12-2041 to challenge the unlawful usurpation or exercise of a public franchise; and (3) the AG's public-monies claim was subject to the five-year statute of limitations set forth in Ariz. Rev. Stat. 35-212(E). View "State v. Arizona Board of Regents" on Justia Law
Honnen Equipment Co. v. DAZ Management, LLC
The Supreme Court reversed the decision of the court of appeals reversing the judgment of the district court dismissing Honnen Equipment Company's (Honnen) breach of contract claim brought brought against Daz Management, LLC (LLC), holding that all elements of claim preclusion were met, and therefore, the breach of contract claim was barred.Honnen sued Tony Daz (Daz) claiming that Daz negligently operated and damaged a grader that had been rented by the LLC from Honnen and thus breached the rental agreement. The district court ruled for Daz on both Honnen's breach of contract and negligence claim. Thereafter, Honnen brought a second action against the LLC asserting the same claims. After Honnen voluntarily dismissed its negligence claim the district court dismissed the breach of contract claim under the claim preclusion branch of res judicata. The court of appeals reversed. The Supreme Court reversed, holding that Honnen's breach of contract claim was barred. View "Honnen Equipment Co. v. DAZ Management, LLC" on Justia Law
Moore v. Equitrans, L.P.
In 2012, the Moores sued, claiming that Equitrans breached the parties’ right-of-way agreement and trespassed on the Moores’ land by laying two pipeline segments outside of the area specified in their agreement. A jury found that Equitrans either trespassed on the Moores’ West Virginia property or violated the right-of-way agreement but made no findings as to the proper remedy. While the Moores initially sought equitable relief (ejectment), a subsequent condemnation judgment in favor of Equitrans ultimately precluded such relief. Following several appeals, the district court allowed the Moores to pursue damages for breach-of-contract and trespass but denied leave to add a claim for intentional trespass. Later, the district court barred any claim for breach-of-contract damages. After excluding much of the Moores’ evidence of trespass damages, the court sua sponte entered judgment in favor of Equitrans.The Fourth Circuit vacated in part. The district court did not abuse its discretion in denying leave to amend, in making its motion in limine rulings, or in entering judgment in favor of Equitrans on contract damages. The court rejected a contention that the proper measure of trespass damages includes a portion of Equitrans’s profits. Because the Moores lacked sufficient notice that they needed to come forward with all evidence of trespass damages, the court vacated the portion of the judgment concerning trespass damages for procedural error and remanded. View "Moore v. Equitrans, L.P." on Justia Law
JPMorgan Chase Bank, National Ass’n v. Virgulak
The Supreme Court affirmed the judgment of the appellate court affirming the judgment in favor of Defendant Theresa Virgulak in this action brought by Plaintiff, Manufacturers and Traders Trust Company, holding that there was no error.The trial court found in favor of Defendant on Plaintiff's foreclosure, reformation, and unjust enrichment claims. The appellate court affirmed. The Supreme Court affirmed, holding (1) the trial court properly declined Plaintiff’s request to reform the mortgage deed to reference that the mortgage deed executed by Defendant was given to secure a note executed by her husband; and (2) the trial court correctly determined that Plaintiff was not entitled to foreclose the mortgage executed by Defendant because Defendant was not a borrower on the note. View "JPMorgan Chase Bank, National Ass'n v. Virgulak" on Justia Law
Greif v. Sanin
Appellant, defendant, and cross-complainant Earl Greif sold 10 acres of raw vacant land (Property) in Rancho Mirage to plaintiff-respondent Yardley Protective Limited Partnership, a family real estate investment partnership. A few days after Earl signed the purchase agreement (Purchase Agreement), he concluded he had sold the Property for less than its fair market value and attempted to back out of the sale. The Yardley partnership sued Earl, Earl’s wife, Shirley Greif, and Gabriel Nicholas Limited Liability Company (collectively GNLLC) to enforce the Purchase Agreement. Greif filed a cross-complaint against the Yardley partnership and one of its limited partners, Solail Ahmad (Yardley), later adding as cross-defendants Yardley’s real estate brokers, Desert Gate Real Estate, Inc. dba Four Season Realty (Desert Gate) and Desert Gate broker, Eddie Sanin (collectively Sanin). The trial court dismissed Greif’s third amended cross-complaint (Cross-complaint) on the eve of trial for failing to state any cause of action as a matter of law. After a lengthy court trial, the trial court entered judgment in favor of Yardley and against Greif and GNLLC. Greif filed three separate appeals. Rejecting Grief and GNLLC's contentions raised in the appeals, the Court of Appeal affirmed the trial court's judgment. View "Greif v. Sanin" on Justia Law
Camille Village, LLC v. Federal National Mortgage Ass’n, et al.
The dispute underlying this appeal began with the failure of Camille Village, LLC, the owner of an apartment complex, to deposit additional money in escrow for repairs after it was demanded by Lenders Federal National Mortgage Association and Barings Multifamily Capital, LLC. The Lenders held Camille Village to be in default, lengthy settlement negotiations failed, and the amount demanded for repairs increased dramatically after additional inspections. After a trial, the chancery court concluded that Camille Village was in default and had failed to prove the Lenders had acted in bad faith. Finding no reversible error, the Mississippi Supreme Court affirmed the trial court. View "Camille Village, LLC v. Federal National Mortgage Ass'n, et al." on Justia Law
Fortney & Weygandt, Inc. v. Lewiston DMEP IX, LLC
The Supreme Judicial Court affirmed in part the judgment entered in the Business and Consumer Docket (BCD) awarding attorney fees and expenses to Forney & Weygandt, Inc. (F&W) but vacated a portion of the judgment awarding F&W attorney fees and expenses related to subcontractor claims, holding that remand was required.Lewiston DMEP IX, LLC, et al. (collectively, GBT), a group of limited purpose entities and a commercial real estate developer, appealed the attorney fees and expenses award to F&W, a commercial general contractor, pursuant to Maine's prompt payment statute, Me. Rev. Stat. 10, 1111-1120. Specifically, GBT contended that the BCD erred in awarding attorney fees and expenses that were not incurred in direct pursuit of F&W's prompt payment claims, including those related to F&W's contract claims, GBT's counterclaims and affirmative defenses, and subcontractor claims against F&W. The Supreme Judicial Court largely affirmed the judgment but vacated the award of attorney fees and expenses related to the subcontractor claims, holding that the court abused its discretion when it did not articulate a basis for an award of fees that would be proper under the prompt payment statute and this Court's interpretative case law. View "Fortney & Weygandt, Inc. v. Lewiston DMEP IX, LLC" on Justia Law
Singing River MOB, LLC v. Jackson County
Two cases were consolidated for the Mississippi Supreme Court's review. In the first appeal, Singing River MOB, LLC (MOB), argued that the leases between itself and Singing River Health System (SRHS) and the lease between Jackson County, Mississippi (County), and SRHS were valid and that the chancery court erred by finding the leases invalid under Mississippi’s “minutes rule.” In the second appeal, Jackson County and SRHS contended the chancery court erred by fashioning its own equitable relief as a result of the first ruling. MOB also raised its own objection as to the manner in which the equitable relief was fashioned. After careful review, the Supreme Court affirmed and remanded the partial summary-judgment order as to the first appeal (No. 2019-IA-01630-SCT); however, the Court reversed and remanded that order as to the second appeal (No. 2019-IA-01653-SCT). View "Singing River MOB, LLC v. Jackson County" on Justia Law
Estate of Greenwood v. Montpelier US Insurance Company, et al.
William Greenwood was in the business of salvaging valuable materials from old buildings. Greenwood was insured by Mesa Underwriters Specialty Insurance Company through a policy sold by Dixie Specialty Insurance. Greenwood was later sued by adjoining building owners who complained he had damaged their property, and Mesa denied coverage based, in part, on a policy exclusion for demolition work. Greenwood later brought suit against his insurers alleging breach of contract and bad-faith denial of coverage. Greenwood averred that his business was actually “deconstruction” rather than demolition, but the trial court granted summary judgment to the insurers. Finding no reversible error in that judgment, the Mississippi Supreme Court affirmed the trial court. View "Estate of Greenwood v. Montpelier US Insurance Company, et al." on Justia Law
Angel v. Tauch
The Supreme Court held that no contract to settle a debt was formed in this case, that the implied-revocation doctrine is not constrained to real-property transactions, and that the settlement offer was impliedly revoked when the offeror assigned the underlying judgment.At issue in this contract dispute was whether a purported offer to settle a debt for a reduced sum was accepted before it was revoked. The issue's resolution turned on the parameters of the doctrine of implied revocation adopted by the Supreme Court in Antwine v. Reed, 199 S.W.2d 482 (Tex. 1947). The trial court granted summary judgment against the offeree. The court of appeals reversed. The Supreme Court reversed, holding (1) the implied-revocation doctrine is not limited to offers involving the sale of land; and (2) the settlement offer in this case was impliedly revoked when the offeror assigned the underlying judgment to a third party for collection and the assignee gave the offeree a copy of the assignment agreement before the offeree accepted the settlement offer. View "Angel v. Tauch" on Justia Law