Justia Contracts Opinion Summaries

Plaintiffs filed a claim with their insurer (Insurer) for underinsured motorist benefits after a car accident. Pursuant to a provision of the insurance policy, the parties submitted the dispute to an arbitration panel. Prior to the arbitration hearing, Insurer sought broad discovery under Wis. Stat. 804. Plaintiffs refused to comply with such discovery on the grounds that Wis. Stat. 788.07 controlled and permitted only the taking of certain depositions. The arbitration panel decided that Insurer was entitled to chapter 804 discovery. The circuit court reversed and directed that arbitration discovery would proceed as allowed by section 788.07. The court of appeals reversed, holding that Plaintiffs were not allowed to seek an interlocutory appeal, and that full chapter 804 discovery was available to Insurer. The Supreme Court affirmed as modified, holding (1) because no unusual circumstances justified an interlocutory appeal, Plaintiffs' action in the circuit court was premature; and (2) because Insurer failed to include an explicit, specific, and clearly drafted arbitration clause stating otherwise, discovery in this case was limited to that provided for in section 788.07. Remanded. View "Marlowe v. IDS Prop. Cas. Ins. Co." on Justia Law

This appeal arose over the administration of a Trust between Lawrence, the Trust's beneficiary, and the Trust's trustees, Dennis and Leona (collectively, Trustees). Lawrence moved to set aside a contract for deed executed between Dennis and his wife and the Trustees for the sale of farmland owned by the Trust and also sought to remove the Trustees, alleging they engaged in self-dealing and breached their fiduciary duties. The district court concluded (1) the Trust permitted the Trustees to finance the sale of the farmland to Dennis under the terms set forth in the contract for deed; and (2) Lawrence violated the Trust's no-contest clause by challenging the Trustee's sale of the farmland to Dennis, which required Lawrence's disinheritance. The Supreme Court reversed the district court's ruling regarding the Trustees' authority to finance the sale of the farm and its enforcement of the no-contest clause against Lawrence, holding (1) the Trustees' execution of the contract for deed violated the terms of the Trust; and (2) Lawrence had probable cause to challenge the Trustees' sale of the farm to Dennis. Remanded. View "Hamel v. Hamel" on Justia Law

Steven Sheeder and Barlett Grain Co. entered into oral agreements for the sale of grain. The parties later confirmed the agreement with a signed, written document containing an arbitration clause that was not part of the oral agreements. After Bartlett requested adequate assurance of performance and Sheeder did not provide such assurance, thus repudiating the contracts, Bartlett filed a complaint against Sheeder with the National Grain Feed Association (NGFA). Sheeder failed to sign an arbitration contract as required by NGFA arbitration rules, and NGFA entered a default judgment for Bartlett for breach of contract. Bartlett subsequently filed an application for confirmation of the arbitration award. The district court denied the application, concluding that there was no enforceable agreement between the parties to arbitrate. The Supreme Court reversed, holding (1) Bartlett and Sheeder entered into written agreements to arbitrate because the parties' oral agreements were modified by signed writings including agreements to arbitrate; and (2) the written agreements between Sheeder and Bartlett were not unconscionable. View "Barlett Grain Co. v. Sheeder" on Justia Law

Plaintiffs-Appellants Arthur and Joy Lynn Hayden, in their individual capacities and as co-conservators and co-guardians of Todd Hayden, and the law firm of Smith Bakke Porsborg Schweigert & Armstrong ("law firm") appealed the grant of summary judgment dismissing their claims against Medcenter One, Inc., and other medical providers for expenses and attorney fees incurred in securing payments from Todd Hayden's medical insurance company for his medical expenses. Upon review of the matter, the Supreme Court affirmed, concluding the district court did not err in ruling as a matter of law that the medical providers are not liable to the Haydens and the law firm under their asserted theories of unjust enrichment, quantum meruit, equitable estoppel and the common fund doctrine. View "Hayden v. Medcenter One, Inc." on Justia Law

K & L Homes, Inc. ("K & L") appealed the trial court's summary judgment declaring no coverage existed under K & L's commercial general liability ("CGL") policy with American Family Mutual Insurance Company ("American Family") for damages awarded against K & L in an underlying action. Upon review of the applicable case law pertinent to this matter, the Supreme Court concluded there could be an "occurrence" under the CGL policy at issue in this case. Therefore, the Court reversed the summary judgment and remanded the case for further proceedings. View "K & L Homes, Inc. v. American Family Mutual Ins. Co." on Justia Law

Southern Walk, a homeowners association, brought this action seeking a declaratory judgment against OpenBand, the corporation with which it had contracted in 2001 for wire-based video services. Southern Walk alleged that the 2007 Exclusivity Order issued by the FCC rendered "null and void" OpenBand's exclusive rights under the 2001 contracts to provide such wire-based video services to Southern Walk homeowners. The court affirmed the judgment of the district court to the extent that it held that Southern Walk failed to allege facts supporting standing in this case, but vacated that judgment to the extent that it dismissed the case with prejudice, and remanded with instructions to dismiss without prejudice. The court affirmed the district court's denial of attorney's fees to OpenBand. View "Southern Walk at Broadlands v. Openband at Broadlands, LLC" on Justia Law

The homeowners association sued OpenBand, a group of interlocking entities that provided cable services to Lansdowne real estate development. The homeowners alleged that OpenBand entered into a series of contracts that conferred upon Open Band the exclusive right to provide video services to the the development, in violation of an order of the FCC prohibiting such exclusivity arrangements. Because the contract prohibited competing cable providers from accessing the Lansdowne development in patent violation of the FCC's Order, the court affirmed the district court's judgment declaring the challenged provisions null and void and permanently enjoining their enforcement. View "Lansdowne on the Potomac Homeowners Assoc. v. Openband at Lansdowne, LLC" on Justia Law

This case stemmed from a contract dispute between Mountain Valley and Southern. Southern subsequently obtained a judgment against Mountain Valley and, simultaneously, Mountain Valley obtained a judgment against Southern on its counterclaim. Both parties then appealed from the judgment of the district court denying each party attorney's fees and costs for the litigation. The court held that the district court was within its discretion to find that neither party qualified as the prevailing party under Nevada law. Because the court affirmed the denial of attorney's fees to Southern, the court need not discuss Mountain Valley's protective claim for its own attorney's fees. Accordingly, the court affirmed the judgment. View "Southern Wine and Spirits, etc. v. Mountain Valley Spring Co." on Justia Law

Upon Marcus Degen's purchase of a home, Marcus purchased a homeowner's insurance policy with Hanson Farm Mutual Insurance Company of South Dakota (HFMIC). Marcus, Tina Sellers, and Tina's two daughters moved into the house. One evening, while Marcus was leveling dirt on the property with a skid loader, Marcus hit and killed one of the girls, Adrianna. Tina pursued a wrongful death action against Marcus a year later. HFMIC filed a declaratory judgment action asking the trial court to determine whether it had an obligation to indemnify or defend Marcus in the underlying wrongful death action. The trial court ruled in favor of HFMIC, determining that Adrianna was in Marcus's care and was therefore excluded from coverage under a household exclusion contained in the policy. Both Tina, as the personal representative of her daughter's estate, and Marcus appealed. The Supreme Court affirmed, holding (1) the trial court correctly concluded that the phrase "in your care" was unambiguous and in concluding that Adrianna was in Marcus's care; and (2) because she was in Marcus's care, Adrianna was excluded from coverage under the household exclusion contained in the policy. View "Hanson Farm Mut. Ins. Co. of S.D. v. Degen" on Justia Law

Respondents were involved in the development and construction of Holcomb Condominiums (Condos). Appellant was the homeowners' association for Condos. Appellant filed, on behalf of itself and all condominium homeowners, a constructional defect complaint against Respondents, alleging a variety of defects and claims for negligence and breach of warranty. The district court dismissed Appellant's complaint as time-barred by the two-year contractual limitations period found in nearly identical arbitration agreements attached to each of the homeowners' purchase contracts. The court also denied as futile Appellant's request to amend its complaint to add causes of action for willful misconduct and fraudulent concealment based on missing roof underlayment, finding that the claim would also be time-barred by the contractual limitations period. The Supreme Court reversed and remanded, holding (1) arbitration agreements containing a reduced limitations period that are attached to and incorporated into purchase contracts are unlawful; (2) the district court erred in finding Appellants' negligence-based claims and breach of warranty claims were time-barred; and (3) because the contractual limitations provision was unenforceable, the district court's denial of the motion to amend on this basis was improper. View "Holcomb Condo. Homeowners' Ass'n v. Stewart Venture, LLC" on Justia Law