Justia Contracts Opinion Summaries

In 2001, Plaintiff offered to purchase a commercial property. Defendant was the real estate agent who prepared the offer. The sellers accepted the offer to purchase and prepared a property disclosure statement in compliance with the contract requirement. Plaintiff became the sole owner of the property in 2004. Two years later, Plaintiff discovered three inches of water in the building basement that had leaked through the west wall of the foundation of the building. In 2012, Plaintiff filed a complaint against Defendant, alleging he was negligent in failing to provide the property disclosure statement. The district court dismissed the action on account of the two-year statute of limitations having expired. Plaintiff appealed, arguing that the district court erred in ruling that Defendant had no duty to disclose or provide the property disclosure statement. The Supreme Court dismissed the case due to Plaintiff's failure to challenge the statute of limitations ruling by the district court. The Court also noted that the district court acknowledged that Defendant owed Plaintiff a duty to deliver the disclosure statement. View "Ferrell v. Knighten" on Justia Law

Sheridan Fire Fighters Local No. 276 filed suit against the City of Sheridan alleging that the City breached the parties' collective bargaining agreement when it failed to provide pay raises to five firefighters who had qualified for a "step increase" in salary. The City responded that the raises were not required and that, under the terms of the agreement, the City retained discretion in the award of pay raises. The district court granted summary judgment for the City. The Supreme Court reversed and remanded for entry of summary judgment in favor of Local 276, holding (1) the agreement was ambiguous about whether step increases in salary were mandatory or left to the City's discretion; and (2) because Local 276 presented evidence in support of its summary judgment motion consistent with the union's interpretation that the agreement required the City to give step increases to all eligible firefighters, and the City offered no evidence to the contrary, there were no genuine issues of material fact, and Local 276 showed it was entitled to judgment in its favor. View "Sheridan Fire Fighters Local No. 276 v. City of Sheridan" on Justia Law

Appellants purchased Mom's Malt Shop (Mom's) from Meisinger Investments, which was subsequently dissolved. Six years later, Appellants filed a complaint against Meisinger Investments and one of its owners, Richard Meisinger (Appellees) for breach of contract and breach of the covenant of good faith, alleging that Appellees misrepresented the inventory of the equipment of Mom's, among other things. Appellees filed a motion to dismiss, asserting, inter alia, that the sale of Mom's was between Appellants and Meisinger Investments and that Appellants had not made any allegations that would justify piercing the corporate veil to hold Richard personally responsible. The district court dismissed Appellants' complaint, finding that the complaint was insufficient to survive a motion for summary judgment. The Supreme Court affirmed in part, reversed in part, and remanded, holding (1) the district court improperly converted Appellees' motion to dismiss to a motion for summary judgment; (2) the district court correctly found that Appellants failed to present any allegations that would put Appellees on notice that Appellants were seeking to pierce the corporate veil in an attempt to hold Richard personally liable for the claims against Meisinger Investments; and (3) Appellants did present a proper claim against Meisinger Investments. View "Ridgerunner, LLC v. Meisinger" on Justia Law

While a lawsuit by Appellees David and Elizabeth Speaks was pending against Rosemary and Byron Baker for damages related to poor construction workmanship, the Bakers transferred two parcels of real property to their son, Nathan Baker. The case resulted in a judgment against Byron but a dismissal of the claims against Rosemary. The appellate court affirmed the trial court's decision. Five days later, Nathan transferred the properties to a limited liability company (LLC) he and his family controlled. Appellees subsequently filed this case under the Uniform Fraudulent Conveyance Act and the Uniform Fraudulent Transfer Act. While the case was pending, the LLC transferred the two pieces of property to trusts controlled by Rosemary Baker. The district court granted summary judgment for Appellees permitting execution on the properties, finding that all of the conveyances were fraudulent. The Supreme Court reversed and remanded, holding (1) the district court correctly found the conveyances to be fraudulent; but (2) Appellees failed to make the required prima facie showing that the properties were subject to execution on a judgment against Byron Baker alone. View "Baker v. Speaks" on Justia Law

Appellant filed suit against a paragliding company and the company's employees, owners, and agents (collectively, Appellees) after he sustained injuries during a paragliding training clinic conducted by Appellees. At the time of the incident, Appellant was a member of the United States Hang Gliding and Paragliding Association (USHPA). Appellees filed a motion to dismiss, seeking to enforce a forum selection clause contained in an assumption of risk agreement that Appellant had signed as a condition of his membership with USHPA. Based upon the forum selection clause, Appellees contended that California was the appropriate forum for the litigation. The district court granted the motion to dismiss. The Supreme Court reversed, holding that the forum selection clause contained in the agreement between Appellant and USHPA was not enforceable as between the parties to the present litigation, as Appellees were not parties to that contract and did not consent in advance to the jurisdiction of the California courts. Remanded. View "Venard v. Jackson Hole Paragliding, LLC" on Justia Law

This case arose out of a home construction contract between the contractors, Big-D Signature Corporation and two LLCs. Morris Sterrett was the owner of the property on which the home was built. Big-D filed suit against the LLCs and Sterrett, alleging breach of contract and unjust enrichment. The LLCs and Sterrett counterclaimed, alleging breach of contract. The district court entered a partial summary adjudication that was later partially vacated. A jury trial then commenced, but a mistrial was declared. A partial summary judgment order followed. The remaining issues were disposed of by the district court under a sua sponte dismissal with prejudice. Both sides appealed. The Supreme Court affirmed in part and reversed in part, holding (1) the district court did not err in granting partial summary judgment for Plaintiff; (2) the court did not err in finding that Sterrett was individually liable; (3) the court erred in dismissing the issue of whether Big-D could obtain relief under some of the prime contract change orders (PCCOs); (4) the court erred in finding some of the items in the PCCOs were consequential damages barred by the contract; and (5) the court correctly dismissed the damages claims of the LLCs and Sterrett. View "Big-D Signature Corp. v. Sterrett Props., LLC " on Justia Law

In July 2008, Appellant-Plaintiff Monica Claman purchased a house in Rock Springs, Wyoming, from Appellee-Defendant Jean Popp. In September 2008, Appellant filed an action against Popp based on subsidence-caused defects in the house. The district court entered summary judgment against Appellant on her breach of contract and negligent misrepresentation claims, and following a bench trial, it entered judgment against her on her fraudulent inducement claim. The issues on appeal were: (1) whether the trial court appropriately entered summary judgment against Appellant as to her breach of contract claim; (2) whether the trial court appropriately entered summary judgment against Appellant as to her claim for negligence/negligent misrepresentation; and, (3) whether the district court erred in its conclusions relating to the Department of Environmental Quality. Finding that the district court's summary judgment against Appellant's breach of contract and negligent misrepresentation claims were in accordance with law and undisputed facts, and that the court's findings of fact on the fraudulent inducement claim were not clearly erroneous, the Supreme Court affirmed the district court's decision. View "Claman v. Popp" on Justia Law

Northwest Building Company, LLC (Contractor) performed construction services for Northwest Distributing Co., Inc. (Owner) on a Taco John’s/Good Times facility in Gillette, Wyoming. Contractor brought an action against Owner seeking payment for its services, and Owner counterclaimed. After Contractor’s attorney moved to withdraw, the district court ordered Contractor to find substitute counsel in time for the pretrial conference. When Contractor was unable to find substitute counsel by the deadline, the district court sanctioned it by dismissing its complaint and granting judgment in favor of Owner on its counterclaims. Contractor appealed, raising a number of procedural issues. Upon review, the Supreme Court concluded that the district court did not abuse its discretion by dismissing the Contractor's complaint, and affirmed the lower court's judgment. View "Northwest Building Company, LLC v. Northwest Distributing Co., Inc." on Justia Law

Bowers Oil and Gas, Inc. (BOG) entered into a Gas Purchase Contract with Kinder Morgan Operating, L.P. (Kinder Morgan), pursuant to which Kinder Morgan agreed to purchase coal bed methane gas from certain of BOG's wells. Kinder Morgan transferred its interest in the Contract, and Kinder Morgan's successor eventually terminated the Contract pursuant to a provision that allowed either party to terminate if in the terminating party's sole opinion, the sale or purchase of the gas became unprofitable or uneconomical. BOG thereafter filed suit asserting claims for breach of contract and breach of the covenant of good faith and fair dealing. Following a bench trial, the district court found no contract breach or covenant breach and ruled in favor of Kinder Morgan and its successor. Upon review, the Supreme Court affirmed. The Court found no breach of contract in the successor's removal of the pipelines connecting BOG to the gas gathering system and that the Gas Purchase Contract was properly terminated for economic cause. Furthermore, the Court found no clear error in the district court's rejection of BOG's claim for breach of the implied covenant and fair dealing. View "Bowers Oil & Gas, Inc. v. DCP Douglas, LLC" on Justia Law

Bill Kuhl brought wrongful termination claims against his former employer, Wells Fargo Bank, asserting claims for breach of an express contract of employment, breach of an implied contract of employment, promissory estoppel, and tortious breach of the implied covenant of good faith and fair dealing. After the parties engaged in discovery, Wells Fargo moved for summary judgment. Kuhl resisted that motion. After a hearing, the district court granted summary judgment in favor of Wells Fargo. The Supreme Court affirmed, holding that the district court did not err in granting summary judgment in favor of Wells Fargo on any of Kuhl's claims.