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Gilberto Vasquez v. Sportsman's Inn, Inc.
57 A.3d 313
R.I.
2012
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Background

  • Plaintiff Vasquez sues Sportsman’s Inn, Inc., DLM, Inc., and DLM Realty, LLC for injuries from a gunshot near the Fountain Street club, alleging inadequate security.
  • Defendants lease the Fountain Street property and share corporate structure and operations; trials noted intermingled finances and control.
  • Superior Court granted a preliminary injunction prohibiting encumbrance or sale of the Fountain Street property pending further order.
  • Trial evidence showed numerous police calls to the location; security staffing on the night was minimal; there was no outside security posted.
  • Trial court concluded corporate formalities could be disregarded and that Vasquez showed likelihood of success on the merits; court also addressed pre-judgment attachment.
  • On appeal, the Rhode Island Supreme Court vacates the injunction, holding the record fails to show a prima facie breach of duty and leaves unresolved whether veil piercing applies at this stage.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Did Vasquez show likelihood of success on the negligence claim? Vasquez argues duty to protect patrons and breach due to inadequate security. Sportsman’s Inn contends no evidence ties shooting to its conduct or location. No prima facie nexus; duty not shown; injunction vacated.
Was irreparable harm shown to justify an injunction? Vasquez contends potential massive damages justify injunctive relief given defendants' limited assets. Defendants contest irreparable harm absent breach of duty proved. Record insufficient to establish irreparable harm on the merits.
Should the corporate veil be pierced at this stage? Vasquez argues intermingled control supports piercing to reach assets. Defendant contends veil piercing is premature and not established. Veil piercing unnecessary at this stage; not decided.

Key Cases Cited

  • Iggy’s Doughboys, Inc. v. Giroux, 729 A.2d 701 (R.I.1999) (preliminary injunction factors framework)
  • J.B. Prata, Ltd. v. Bichay, 468 A.2d 266 (R.I.1983) (scope of review for injunctions)
  • Ouch v. Khea, 963 A.2d 630 (R.I.2009) (elements of tort negligence)
  • Selwyn v. Ward, 879 A.2d 882 (R.I.2005) (duty, foreseeability, and relationships in torts)
  • Doe v. Gelineau, 732 A.2d 43 (R.I.1999) (doctrine of piercing corporate veil and related circumstances)
  • Martin v. Lincoln Bar, Inc., 622 A.2d 464 (R.I.1993) (prejudgment attachment in tort actions; limits)
  • A.J.C. Enterprises v. Pastore, 473 A.2d 269 (R.I.1984) (causational inferences linking proximity to premises)
Read the full case

Case Details

Case Name: Gilberto Vasquez v. Sportsman's Inn, Inc.
Court Name: Supreme Court of Rhode Island
Date Published: Dec 19, 2012
Citation: 57 A.3d 313
Docket Number: 2011-26-Appeal
Court Abbreviation: R.I.