Breach of Contract

News & Analysis as of

Appellate Court Determines that Student Handbook is not a Contract

In Mulvey v. Carl Sandberg High School et al., a family sued its school district and various district officials and coaches alleging breach of contract for the District’s alleged failure to enforce the anti-bullying policies...more

Texas Court of Appeals Finds Noncompete Agreement Inapplicable to Former President’s Post-Termination Activities Due to the...

On October 27, 2016, the Fort Worth Court of Appeals affirmed a lower court’s order denying an application for temporary injunction seeking to enjoin Thomas Musgrave, the former president of Henry F. Coffeen III Management,...more

Real Property & Title Insurance Update: Weeks Ending November 18 & 25, 2016

REAL PROPERTY UPDATE - Settlement/Waiver: borrowers permitted to raise affirmative defenses and counterclaims against lender where subject Loan Modification Agreement failed to include waiver of claims, affirmative...more

Seventh Circuit Rejects False Claims Act and Retaliation Claims Premised on Purported Breach of Contract

On October 11, 2016, the Seventh Circuit confirmed that there is no violation of the False Claims Act (“FCA”) where the defendant allegedly violated a self-imposed requirement that was not mandated by its contract with the...more

The Rule Against Perpetuities is Alive and Enforceable in Oklahoma

Today we venture into Oklahoma, to be instructed on the Supreme Court’s treatment of the Rule Against Perpetuities. First, the Rule: No property interest is good unless it must vest, if all, not later than 21 years after...more

Yahoo Awarded Over $1.5 Million in Sweepstakes Promotion Lawsuit

Last week, a Dallas federal court concluded that Yahoo! Inc. (“Yahoo”) should be paid over $913,000 in attorneys’ fees in connection with its March Madness sweepstakes promotion, bringing Yahoo’s total award in the case to...more

Court Grants Default Judgment Confirming Arbitration Award, With A Lesson On Jurisdiction

Choice Hotels filed an application to confirm an arbitration award of over $247,000 for the alleged breach of a franchise agreement by two defendants, which failed to timely commence construction of a hotel. The defendants...more

Superior Court Limits Contractual Indemnification To Third Party Claims

This decision holds that a general obligation to indemnify another party to a contract applies only to claims filed by a third party and not to claims between the parties to the contract itself. Hence, if you want to cover...more

InterConnect FLASH! No. 58 - Contract, Conduct, And Common Sense Can Save You Money

You have undoubtedly heard countless times that “an apple a day keeps the doctor away.” Preventive health care is a big deal. Search Google for preventive medicine and it will return approximately 22.4 million results in...more

How Concerned Should Insurers be About Punitive Damages in California?

The California Court of Appeal recently published another opinion about the Nickerson v. Stonebridge Life Insurance case. The court held to its maximum 10:1 punitive-to-compensatory-damages ratio and analyzed whether this...more

Merger does not invalidate noncompete, nonsolicitation covenants

When corporate mergers and acquisitions take place, the parties frequently ask, “What is the effect on the acquired company’s contracts?” That was the issue in a case involving noncompetition and nonsolicitation covenants in...more

Food Fight: America’s Test Kitchen v. Chris Kimball

If, like me, you’re a fan of PBS and its soothing, soft-focus, food-related shows (ahem, Great British Bake-off), you were probably devastated when you heard that longtime host Chris Kimball, was leaving America’s Test...more

Eleventh Circuit Affirms District Court’s Confirmation Of Arbitration Award, Finding That Arbitrator’s Refusal To Postpone Hearing...

The background of this case is as follows. CM South East Texas Houston LLC and South East Texas KCH Co. LLC (collectively, “CM South”) asserted breach of contract claims against CareMinders Home Care Inc. (“CareMinders”) and...more

Choice of Law in Unfair-Trade-Practices Cases

Can a contractual choice of law disable N.C. Gen. Stat. § 75-1.1? Yes, according to a recent decision from a federal court in New York. In Canon U.S.A., Inc. v. Cavin’s Business Solutions, Inc., a business filed a 75-1.1...more

Delaware Supreme Court Explains Setoff And Recoupment

This decision explains the difference between a defendant’s right of setoff and recoupment. The key difference is that the right of setoff arises out of an independent transaction, while recoupment must be based on the same...more

"No Contract" Disclaimer in Employee Handbook Upheld by Illinois Court

Employee handbooks have long been a trap for the unwary employer that desires merely to establish a set of rules and policies without undermining an at-will employment relationship with its employees. To avoid establishing...more

District Court Stays Patent Litigation Pending State Court Proceedings That Will Determine Licensing Issue

In this patent infringement action, MMEI, owns U.S. patent 6,234,099 ("the '099 patent"). Fineline Industries, Inc. ("Fineline Inc.") entered into a license agreement with MMEI that permitted Fineline Inc. to use the '099...more

Option Contract Ruling Reversed by Texas Supreme Court.

North Shore Energy v. Harkins interpreted an Option Agreement between landowners and a producer over a 400 acre tract. In football they would say the Texas Supreme Court pancaked the plaintiff. In the law, some would call it...more

Delaware Law Updates – Board’s Adoption of a Plan of Dissolution Held Not to Be a Breach of the Directors’ Fiduciary Duties

In The Huff Energy Fund, L.P. v. Gershen, C.A. No. 11116-VCS (Del. Ch. Sept. 29, 2016), the Delaware Court of Chancery dealt with the issue of whether a company’s decision, approved by its board of directors and its...more

Common Contractual Battlegrounds: Four Significant, But Often Overlooked, Provisions in Domestic Commercial Contracts

When parties enter into a domestic commercial contract, their focus is typically on memorializing their agreement and getting the deal done. As a result, they may not think critically enough about what will happen if the...more

Recent Development in Retail Power and Contracting with Texas Governmental Entities

A Texas Court of Appeals recently rejected a retail electric provider’s attempt to sue a Texas public school district for breach of contract—holding that the then-effective supply contract at issue was void and that the...more

Change in How SC Supreme Court Views Conspiracy Claims May be Coming

As our various courts decide cases, we watch to see if there are any trends that seem to be developing or whether a case signals that the courts are beginning to change how they view a particular issue or type of case. We've...more

Your Daily Dose of Financial News

And we thought Brexit was something. Buckle up. It’s going to be a wild market ride... Whoa....more

What Underlying Facts are Required to Assert a Valid CFAA Claim Based on “Exceeds Authorized Access” in Georgia?

The Computer Fraud and Abuse Act (“CFAA”) gives rise to an actionable claim if someone “knowingly access[es] a computer without authorization or exceed[s] authorized access.” 18 U.S.C. § 1030(a)(1). The term “exceeds...more

FRANCHISOR 101: Original Content Needed to Protect Ops Manuals

An important part of the franchise system is the confidential operating manual. Many franchisors claim protection of operating manuals under the law of trade secrets and copyright. Keeping the contents confidential is...more

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