International Diamond Importers, Ltd. v. Singularity Clark, L.P.
40 A.3d 1261
Pa. Super. Ct.2012Background
- IDIs lease dispute over relocation of stores from second to fourth floor of Clark Building; amendments to 201 and 204-205 Leases affected assignment rights; Singularity relocated tenants after notice; Appellants alleged breach of lease, conversion, negligence, and tortious interference with prospective contractual relations; trial court directed verdict on breach of contract and non-suit on tortious interference; jury returned defense verdict on negligence; appellate court reverses some rulings and remands for new trial on breach and tortious interference.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Was the directed verdict on breach of contract proper? | Appellants contend material questions of fact on material breach. | Singularity argues Appellants' breach was incurable and entitled to termination. | Directed verdict reversed; materiality questions for jury. |
| Was the non-suit on tortious interference proper? | Appellants showed prospective relation and intent to interfere. | Ambiguity in amendment language required dismissal; no jury entitlement. | Non-suit reversed; jury to decide. |
| Did exclusion of rehabilitation evidence taint the negligence verdict? | Settlement details should rehabilitate Goldstein after cross-examination. | Evidence was irrelevant to negligence; limited admission allowed. | No reversible error; JNOV on negligence affirmed. |
Key Cases Cited
- LJL Transportation, Inc. v. Pilot Air Freight Corp., 599 Pa. 546 (Pa. 2008) (material breach and notice/cure standards in contract termination)
- Umbelina v. Adams, 2011 Pa. Super. 257, 34 A.3d 151 (Pa. Super. 2011) (materiality and contract performance standards in Pennsylvania)
- 2401 Penna. Ave. Corp. v. Federation of Jewish Agencies of Greater Phila., 466 A.2d 132 (Pa. Super. 1983) (restatement-based material breach factors; rent/possession basis)
- Behrend v. Bell Tel. Co., 242 Pa. Super. 47, 363 A.2d 1152 (Pa. Super. 1976) (prospective relationships; reasonable likelihood standard)
- Gray v. Gray, 448 Pa. Super. 456, 671 A.2d 1166 (Pa. Super. 1996) (Restatement §241 factors guidance for materiality)
- Widmer Eng. Inc. v. Dufalla, 837 A.2d 459 (Pa. Super. 2003) (materiality and substantial performance factors)
- Ott v. Buehler Lumber, 373 Pa. Super. 515, 541 A.2d 1143 (Pa. Super. 1988) (material breach determinations; jury questions generally)
- Janis v. AMP, Inc., 856 A.2d 140 (Pa. Super. 2004) (standard of review for directed verdict/JNOV)
- Wright v. Bristol Patent Leather Co., 257 Pa. 552, 101 A. 844 (Pa. 1917) (clarity of termination notices; ambiguity defeats termination)