Recently in Contract Law Category

Samuel Muriithi drove an airport shuttle for Shuttle Express. He did so not as an employee, but as a franchisee. Of course, he alleges that the arrangement was a misclassification and that he was entitled to more pay, overtime, etc. under the Fair Labor Standards Act.

Alas, the parties haven't even reached that important question yet. You see, their agreement included an arbitration clause. Shuttle Express pushed for enforcement of the clause but the district court ruled that it was unconscionable due to three provisions in the contract: the class action waiver, the requirement that the parties "split" arbitration fees, and the one-year limitations period for asserting claims.

The Fourth Circuit vacated the district court's opinion, citing AT&T Mobility LLC v. Concepcion, and kicked the case to arbitration.

A reasonable person might think, "If I intentionally set my trucks on fire, my insurance policy won't cover it. Because, yeah. Arson."

That reasonable person might be wrong.

In an unpublished opinion, the Fourth Circuit Court of Appeals ruled this week that State Farm was required to pay Wells Fargo for two torched trucks because the insurance policy's conversion exclusion did not unambiguously bar coverage.

The Fourth Circuit Court of Appeals ruled this week that equitable relief remedies are available to a life insurance beneficiary to redress violations of Employee Retirement Income Security Act (ERISA) or ERISA plans.

The Fourth Circuit panel vacated its earlier stance this week after rehearing the case.

While public opinion has favored borrowers since the mortgage meltdown, the federal courts occasionally side with the mortgage industry.

Last week, the Fourth Circuit Court of Appeals issued an opinion siding with a loan servicer in a fee dispute involving acceleration dates.

Lawsuits are a tough sell when a plaintiff has specifically agreed to not sue the defendant.

Take NASCAR driver Jeremy Mayfield, for example. In May 2009, Mayfield was suspended from the NASCAR circuit after failing a random drug test. NASCAR announced the reason for the suspension, and Mayfield filed a lawsuit.

This week, the Fourth Circuit Court of Appeals ruled that Mayfield had no case because he signed two contracts waiving his right to a NASCAR lawsuit, The Associated Press reports.

While the case of Bosley v. Mineral County Commission presents a series of unfortunate events, the actual case before the Fourth Circuit Court of Appeals is not nearly as dramatic.

The Fourth Circuit Court of Appeals affirmed a lower court ruling that the settlement offer in a case involving several state law and federal constitution claims did not include the attorneys fees and costs.

Dismissal of plaintiff's breach of contract suit against Astrazeneca for improper venue under English law

Albemarle Corp. v. AstraZeneca UK Ltd., 10-1000, concerned plaintiff's breach of contract suit against defendant AstraZeneca UK Ltd. claiming that defendant breached its duty to give plaintiff the first right of refusal to supply defendant with propofol, used in manufacturing a fast-acting anesthetic.

Remand of plaintiff's breach of contract suit to state court based on forum selection clause

FindWhere Holdings, Inc. v. Sys. Env't Optimization, 09-2155, concerned a plaintiff's suit seeking damages for breach of contract against defendant, its subsidiary, and two other individuals, arising from a contract wherein defendant agreed to act as plaintiff's exclusive reseller of global positioning systems (GPS) in several countries in the Middle East.

Dismissal of plaintiff's suit against franchisee for lack of subject matter jurisdiction reversed

JTH Tax, Inc. v. Frashier, 09-2262, concerned a challenge to the district court's dismissal of plaintiff's suit for lack of subject matter jurisdiction, in plaintiff's suit against one of its franchisees, claiming that the franchisee breached his post-termination duties by using his former office to support a competing tax enterprise and by failing to return the requisite materials to plaintiff.