History
  • No items yet
midpage
212 A.3d 168
R.I.
2019
Read the full case

Background

  • In 1985 JHRW principals leased land under two buildings to Seaport for 99 years; lease required the lessors to provide one parking space at a location and annual rent to be determined by lessors and promised a condominium deed if the premises were submitted to the Condominium Act.
  • Parcel B (which included Seaport’s leased land) was later developed into the Napatree Point Master Condominium divided into Units A, B (Seaport’s land/buildings), and C (a parking lot later subdivided into individual parking-unit condominiums).
  • Seaport sued JHRW in 2009 claiming entitlement to nine parking spaces (among other claims); JHRW obtained partial summary judgment in 2014 but Seaport’s implied-easement parking claim remained; the parties later stipulated dismissal of remaining Seaport claims and final judgment entered in May 2016.
  • In June 2016 JHRW sued Seaport (this case) for trespass and sought a permanent injunction barring Seaport and its officers/employees from parking in Unit C spaces owned by JHRW; Seaport counterclaimed asserting entitlement to nine commercial parking spaces under zoning/parking agreement and demanded declaratory relief.
  • In May 2017 the Superior Court granted JHRW’s partial summary judgment as to count I, permanently enjoined Seaport from parking in JHRW-owned Unit C spaces, dismissed Seaport’s counterclaim, and denied Seaport’s motion to compel arbitration; Seaport appealed.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether the dispute must be stayed and referred to arbitration under the condominium Declaration Arbitration waived by Seaport; dispute does not arise under the Declaration; Seaport elected judicial remedy earlier Declaration requires binding arbitration of disputes; court should compel arbitration Court held arbitration waived—defendants did not plead arbitration as affirmative defense and had manifested willingness to litigate; dispute also did not arise under the Declaration
Whether res judicata/collateral estoppel preclude Seaport from asserting parking rights (and whether injunction was proper) Prior litigation adjudicated or could have adjudicated Seaport’s parking claims; Seaport had opportunity to raise condominium-owner rights earlier; therefore precluded and injunction proper Seaport acquired new rights as a condominium unit owner after the first complaint was filed, so res judicata should not bar the new (condominium ownership–based) claim Court held res judicata applies: identity of issues exists because the parking entitlement arose from the same transaction series and could have been raised in the earlier suit; injunction affirmed

Key Cases Cited

  • Newman v. Valleywood Associates, Inc., 874 A.2d 1286 (R.I. 2005) (arbitration may be waived by manifesting willingness to litigate)
  • CACH, LLC v. Potter, 154 A.3d 939 (R.I. 2017) (arbitration is an affirmative defense that must be pled)
  • Goodrow v. Bank of America, N.A., 184 A.3d 1121 (R.I. 2018) (res judicata transactional rule and identity-of-issues test)
  • Federated Department Stores, Inc. v. Moitie, 452 U.S. 394 (U.S. 1981) (final judgment precludes claims or defenses that were or could have been raised)
  • Cancel v. City of Providence, 187 A.3d 347 (R.I. 2018) (summary-judgment standard on appeal)
Read the full case

Case Details

Case Name: JHRW, LLC v. Seaport Studios, Inc.
Court Name: Supreme Court of Rhode Island
Date Published: Jun 19, 2019
Citations: 212 A.3d 168; 2017-313-Appeal. (WC 16-303)
Docket Number: 2017-313-Appeal. (WC 16-303)
Court Abbreviation: R.I.
Log In
    JHRW, LLC v. Seaport Studios, Inc., 212 A.3d 168