Justia Contracts Opinion Summaries

This case was an appeal of a judgment: (1) denying recovery on an alleged oral promise to grant the Plaintiffs a right of first refusal with respect to a parcel of real property they were leasing; (2) denying recovery on an alleged oral promise to purchase the Plaintiffs’ buildings that were located on that property; and (3) finding that the Plaintiffs were guilty of unlawful detainer. Finding no reversible error, the Supreme Court affirmed the judgment. View "Nicholson v. Coeur d'Alene Placer Mining Corp" on Justia Law

Prior to filing condemnation proceedings the Appellee Oklahoma Department of Transportation (ODOT) offered Appellants, Cedars Group, L.L.C., A. Sam Coury and Bush, Ltd. d/b/a Deer Creek Texaco, (collectively, Coury Defendants), $562,500.00 for the acquisition of certain real property. The offer was not accepted and ODOT commenced two condemnation proceedings. In one, a commissioners' report estimated the value of just compensation for the property to be $285,000.00. In the second proceeding, the value of just compensation was estimated as $177,500.00. The combined value of the two commissioners' awards totaled $462,500.00. The Coury Defendants hired Gregg Renegar's law firm to provide representation in the condemnation proceedings. Pursuant to the firm’s attorney-client agreement, the Coury Defendants agreed to pay forty percent of the difference between an award and jury verdict, plus any attorney’s fees allowed by the court. A jury trial was held, and the jury awarded just compensation of $525,000 for the two tracts. Defendants applied for attorney fees. The trial court determined Defendants were not entitled to an award of fees because they never actually incurred any. In the end, the trial court awarded appraisal fees but denied reasonable attorney, engineering and expert witness fees, costs and expenses of Defendants. The Supreme Court affirmed in part and reversed in part; the case was remanded for a determination of reasonable attorney fees, engineering and expert witness fees, and costs. View "Oklahoma ex rel. Dept. of Trans. v. Cedars Group, LLC" on Justia Law

After the loan secured by Susan Alexander’s property went into default, Bank of America, N.A. (BANA) initiated foreclosure proceedings. The property was sold to BANA after a trustee’s sale. When Alexander refused BANA’s demand to vacate the property BANA filed a complaint for unlawful detainer against Alexander. Alexander asserted counterclaims for breach of contract, breach of an oral agreement, and frivolous litigation. The district court granted summary judgment in favor of BANA, concluding that the foreclosure sale was valid and that Alexander was unlawfully holding possession of the property. The court also concluded that Alexander’s counterclaims were either barred by the statute of limitations or statute of frauds and that there was a lack of supporting evidence for her claims. The Supreme Court affirmed, holding (1) BANA was entitled to summary judgment and a writ of assistance based on unlawful detainer; (2) Alexander failed to state a claim of fraud; (3) Alexander’s claims of breach of written or oral contract and breach of oral agreement were barred by the statute of limitations and statute of frauds; and (4) Alexander did not properly allege or offer supporting evidence for her claim of unjust enrichment. View "Bank of America, N.A. v. Alexander" on Justia Law

Justin Beckstrand and James Beckstrand, through his surviving spouse, Cynthia, appealed a judgment awarding $164,202.40 in 2015 farm rental payments to Julie Beckstrand, the personal representative of John Beckstrand's estate. The Supreme Court found that because the district court's findings were inadequate to explain the basis for its equitable decision to award the farm rental payments to Julie Beckstrand, it reversed and remanded for the court to explain the rationale for its decision. View "Beckstrand v. Beckstrand" on Justia Law

Kevin and Lynn Klein appealed a judgment dismissing their claims and quieting title to certain real property in Gregory Sletto. The Supreme Court affirmed, concluding the district court did not err in granting summary judgment because the Kleins failed to present any evidence supporting their claims about the existence of a valid contract. View "Klein v. Sletto" on Justia Law

The property owners, participants in the “Section 8” federal rental assistance program (42 U.S.C. 1437f(a)), sued the Wisconsin Housing and Economic Development Authority for allegedly breaching the contracts that governed payments to the owners under the program, by failing to approve automatic rent increases for certain years, by requiring the owners to submit comparability studies in order to receive increases, and by arbitrarily reducing the increases for non-turnover units by one percent. Because Wisconsin Housing receives all of its Section 8 funding from the U.S. Department of Housing and Urban Development (HUD), the Authority filed a third-party breach of contract claim against HUD. The district court granted summary judgment in favor of Wisconsin Housing and dismissed the claims against HUD as moot. The Seventh Circuit affirmed, noting that the owners’ Section 8 contracts were renewed after the challenged requirements became part of the program. “The doctrine of disproportionate forfeiture simply does not apply,” and Wisconsin Housing did not breach any contracts by requiring rent comparability studies in certain circumstances or by applying a one percent reduction for non-turnover units. View "Evergreen Square of Cudahy v. Wisconsin Housing & Economic Development Authority" on Justia Law

Thomas Saul and Jon Swartzfager initially reached a verbal agreement for Saul’s purchase of a piece of property located within a larger tract of land Swartzfager owned. But another person came along and offered Swartzfager a significant sum to buy the whole tract. Swartzfager approached Saul and asked if he would forego their original land deal and in exchange accept a separate parcel within a different tract of land. Saul agreed to Swartzfager’s new offer, and Swartzfager reduced their agreement to writing, stating that for “good and valuable consideration” already received, he would transfer the second parcel to Saul upon request. However, Swartzfager later backed out and never transferred any land to Saul. Saul filed suit against Swartzfager seeking damages and specific performance. The chancellor found a valid contract existed between Saul and Swartzfager, and awarded him damages, attorney’s fees, and prejudgment interest. After review, the Supreme Court found the chancellor correctly ruled that Saul and Swartzfager had a contract, and Swartzfager was equitably estopped from denying the land deal. Furthermore, the Court found the chancellor’s awards for intentional infliction of emotional distress and attorney’s fees are supported. But Court found the chancellor erred in awarding prejudgment interest, because Saul did not plead a request for prejudgment interest. View "Swartzfager v. Saul" on Justia Law

Jacobs, a licensed California real estate broker, had the “exclusive and irrevocable right” to sell a Marin County parcel for one year. The listing price was $2,200,000; if Jacobs procured a buyer during the listing period, Jacobs would receive a commission of $200,000. The agreement specified that if one named party bought the property, Jacobs would receive no commission. Locatelli signed the agreement as trustee of the Locatelli Trust, but there were blank signature lines for five additional parties. Jacobs claimed that Locatelli stated that he was authorized to act on behalf of the other owners and that she can obtain a written “agency agreement” through discovery. When Jacobs noted interest in the property by TPL, Locatelli was angry and asserted that he had been speaking with TPL for three years and that he wanted to change the agreement. Jacobs claimed that she investigated and that her TPL contact told her that he did not know Locatelli and had not been aware the property was for sale until he was contacted by Jacobs. Later, the owners and TPL entered into a sales contract. The sale was never consummated, apparently because issues arose between the parties. Jacobs sued the owners and TPL. The trial court dismissed without explanation. The court of appeal reversed, finding that the claims were not barred by the statute of frauds or the parol evidence rule. View "Jacobs v. Locatelli" on Justia Law

Plaintiffs borrowed $110 million in 2007 from Bear Stearns to finance the purchase of Rincon Towers, a San Francisco apartment complex. In 2010, after plaintiffs failed to repay the loan and after changes in the ownership of the loan, CP III purchased the property at a nonjudicial foreclosure sale. Plaintiffs sued CP III and other entities who were involved in administering the loan, unsuccessful workout negotiations, and the eventual foreclosure sale. The trial court rejected all of their claims. The court of appeal remanded plaintiffs’ legal claims (breach of contract, fraud, slander of title, trade secret misappropriation), finding that the trial court erred in striking their demand for a jury trial, but affirmed as to the equitable claims (unfair competition, to set aside the foreclosure sale, and for an accounting). View "Rincon EV Realty, LLC v. CP III Rincon Towers, Inc." on Justia Law

The Riverwalk at Arrowhead Country Club and Magnolia North Horizontal Property Regime developments were constructed between 1997 and 2000. After construction was complete and the units were sold, the purchasers became aware of significant construction problems, including building code violations, structural deficiencies, and significant water-intrusion problems. In 2003, the purchasers filed suit to recover damages for necessary repairs to their homes. Lawsuits were filed by the respective property owners' associations (POAs), which sought actual and punitive damages for the extensive construction defects under theories of negligent construction, breach of fiduciary duty, and breach of warranty. As to the Riverwalk development, individual homeowners also filed a class action to recover damages for the loss of use of their property during the repair period. The defendants in the underlying suits were the related corporate entities that developed and constructed the condominium complexes: Heritage Communities, Inc. (the parent development company), Heritage Magnolia North, Inc. and Heritage Riverwalk, Inc. (the project-specific subsidiary companies for each separate development), and Buildstar Corporation (the general contracting subsidiary that oversaw construction of all Heritage development projects), referred to collectively as "Heritage." The issues presented to the Supreme Court by these cases came from cross-appeals of declaratory judgment actions to determine coverage under Commercial General Liability (CGL) insurance policies issued by Harleysville Group Insurance. The cases arose from separate actions, but were addressed in a single opinion because they involved virtually identical issues regarding insurance coverage for damages. The Special Referee found coverage under the policies was triggered and calculated Harleysville's pro rata portion of the progressive damages based on its time on the risk. After review of the arguments on appeal, the Supreme Court affirmed the findings of the Special Referee in the Magnolia North matter, and affirmed as modified in the Riverwalk matter. View "Harleysville Group Ins. v. Heritage Communities, Inc." on Justia Law