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Contract Interpretation Ambiguous

Sullivan & Worcester

Interpreting English Law Contracts: avoiding the bear traps

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The importance of clear drafting cannot be overstated. Ambiguity of language can lead to disputes, costly litigation and unintended outcomes. The recent Court of Appeal judgment in Cantor Fitzgerald & Co v Yes Bank Ltd [2024]...more

McDermott Will & Emery

Taking the High Road: Ambiguity Regarding “Versions” of Beer Precludes Summary Judgment

The US Court of Appeals for the Second Circuit affirmed a district court’s summary judgment denial and determination that the definition of “beer” (which encompassed “other versions and combinations” of beer and malt...more

Whitman Legal Solutions, LLC

Why People “May” Incorrectly Use “Shall,” “Must,” and “Will” Even Though They “Should” Know Better

Contracts, real estate leases, and other legal documents also often include provisions that are mandatory (like obligatos) and/or are optional (like ossias). Terms such as "shall," "must," "will," "may," and "should” each...more

Morgan Lewis - Tech & Sourcing

Take Care to Avoid Ambiguity When Using Template Liability Provisions

It is often appealing for businesses that are under pressure to get contracts signed to turn to template documents. While these templates can be very convenient, it is imperative, especially with regard to liability...more

Pillsbury - Policyholder Pulse blog

A Missing Issue in “Blank Space” Insurance Ruling

Insurance coverage disputes often turn on the meaning of the specific words used in a policy. Norwegian Hull Club v. North Star Fishing Co., currently pending in the U.S. District Court for the Northern District of Florida,...more

Gray Reed

Oops! Sellers Didn’t Read The Mineral Deed Before Signing

Gray Reed on

Precious little legal analysis is required to grasp the lesson from Springbok Royalty Partners v. Cook.  No mode or manner of legal gymnastics is likely to save parties from the legal effect of a contract they didn’t bother...more

Jones & Keller, P.C.

The Importance of Contract Language

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Several years ago, unclear, ambiguous, and inconsistent contract language (not to mention some bizarre lawyer shenanigans) cost the owner of the Los Angeles Dodgers one-half of the team in divorce proceedings...more

McGuireWoods LLP

6th Circuit Rules Nonsensical Contract Clause Does Not Equate to Ambiguity

McGuireWoods LLP on

In Hall v. Rag-O-Rama, LLC, the U.S. Court of Appeals for the 6th Circuit affirmed the decision of a district court that rejected Sally Hall’s breach of contract claims based on a poorly worded contract provision. The 6th...more

Lewitt Hackman

Franchisor 101: Inhospitable Forum Selection Clause

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A hotel franchisee brought a class action lawsuit in Louisiana federal court on behalf of Louisiana franchisees. The franchisor moved to transfer the action to Georgia, based on the mandatory forum selection clause in the...more

Lewitt Hackman

Franchisee 101: Real Estate Amendment Not Up to Interpretation

Lewitt Hackman on

A franchisee sued real estate franchisor Century 21 for a declaration whether the franchisee could end its franchise agreement early despite a provision that deleted the franchisee’s early termination right. Noting the...more

Gray Reed

Texas Supreme Court Deems Continuous Development Clause Ambiguous

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In Endeavor Energy Resources, L.P. v. Energen Resources Corp. et al. the Supreme Court of Texas construed a continuous development clause in an oil and gas lease covering 11,300 acres in Howard County. After the primary term,...more

Jaburg Wilk

That’s Ambiguous – No It’s Not

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As hard as real estate agents, title companies, attorneys, and anybody else who drafts contracts, may strive for perfection in their drafting, it is not unusual for the finished product to include a provision that is...more

Flaster Greenberg PC

Trends in Arbitration Agreements

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The New Jersey Supreme Court in late November 2019 heard oral argument in Flanzman v. Jenny Craig, Inc., 456 N.J. Super. 613 (App. Div. 2018), cert. granted, 237 N.J. 310 (2019), in which the Appellate Division boldly refused...more

Gray Reed

Louisiana Operator’s Bad Faith Does Not Preclude Recovery

Gray Reed on

Under Louisiana law, does the operator’s bad faith preclude recovery for the non-operator’s breach of a joint operating agreement if the operator caused the non-operator to breach the JOA but did not itself breach?...more

Knobbe Martens

Sublicense May Survive Termination of a Main License

Knobbe Martens on

FRAUNHOFER-GESELLSCHAFT v. SIRIUS XM RADIO INC. Before Dyk, Linn, and Taranto.  Appeal from the District of Delaware. Summary:  Contract interpretation must be applied in determining whether a sublicense survives...more

Foley Hoag LLP - White Collar Law &...

Challenge to Attorneys' Fees in False Claims Act Cases

Thanks to inexact language in a settlement agreement, a for-profit hospital chain can challenge whistleblowers’ eligibility for attorneys’ fees under the False Claims Act (“FCA”). The single sentence that spawned nearly 5...more

McDermott Will & Emery

Tyll v. Stanley Black & Decker: When Plan Ambiguity Cost an Employer $4 Million

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An employer learned the full cost of ambiguity when a Connecticut federal district court agreed with an employee’s widow that the word “maximum” was ambiguous in the company’s life insurance plan, thus making the widow...more

Carlton Fields

A Lesson in Sticking to Your Guns: Court Reverses Course and Finds No Duty to Defend or Indemnify on a Motion for Reconsideration

Carlton Fields on

On May 1, 2019, the U.S. District Court for the Middle District of Georgia held that a firearms exclusion in a general liability insurance policy applied to bar coverage for an underlying action arising from a shooting at the...more

Farella Braun + Martel LLP

“That Particular Part” – Yet More

Massachusetts Appeals Court Gets It Right – Mostly - Hot on the heels of the Federal Tenth Circuit Court of Appeals’ decision in MTI, Inc. v. Employers Insurance Company of Wausau, __ F.3d __, 2019 WL 321423 (10th Cir....more

Morris James LLP

Delaware Superior Court Defines “Including”

Morris James LLP on

Triumph Aerostructures-Tulsa LLC v. Spirit Aerosystems Inc., C.A. N17C-11-262 MMJ CCLD (August 8, 2018) - Contracts often use the word “including” as part of a definition of a term. But is that to limit or enlarge what...more

Gray Reed

NPRI Reservation Survives Rule Against Perpetuities

Gray Reed on

Recall the Battle of the Bastards: The heroic Lady Sansa and the duplicitous Lord Baelish gallop over the hill to save the foolish Jon Snow from the heinous Ramsey Bolton. In similar fashion, but without the malnourished...more

Gray Reed

Option Contract Ruling Reversed by Texas Supreme Court.

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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

Zelle  LLP

Contra Proferentem Doesn’t Always Mean ‘Against the Insurer’

Zelle LLP on

Despite best efforts, ambiguities are inevitable in contracts. The doctrine of contra proferentem shifts the risk of ambiguity to the party that drafted the contract. The doctrine is frequently applied against insurers where...more

Cozen O'Connor

Colorado Supreme Court Limits Use of Extrinsic Evidence and Reasonable Expectations Doctrine

Cozen O'Connor on

On Monday, the Colorado Supreme Court issued its decision in American Family Mut. Ins. Co. v. Hansen, No. 14SC99 (Colo. June 20, 2016), holding that extrinsic evidence can only be used to interpret ambiguous policy language,...more

BCLP

Contractual interpretation disputes from the Trustee's perspective: The saga continues

BCLP on

In the first four months of 2016 three more judgments relating to issues of contractual interpretation of provisions contained in documents of securitisation transactions (all three of them for legacy CMBS deals) and...more

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