Liquidated Damages in Consumer Contracts

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Cellphone Termination Fee Cases; Liquidated damages provisions in consumer contracts are presumed void, and the burden is on the proponent of such clauses to rebut that presumption.

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Conversion of Goods

Admiralty Island Fisheries, Inc. v. Millard Refrigerated Services, Inc.; limitation of liability in a warehouse receipt will limit liability, unless the damage was from the the warehouse's conversion of the goods to its own use.

Fraudulent Transfer

Aptix Corp. v. Quickturn Design Systems, Inc.; A transfer is fraudulent if made with the actual intent to hinder, delay, or defraud a creditor; loan was a fraudulent transfer. Badges of Fraud.

Wire Transfer

Experi-Metal, Inc. v. Comerica Bank; authenticity of payment orders must be verified pursuant to a comercially reasonable security procedure; unauthorized wire transfer order.

Security Interest

Helms v. Certified Packaging Corp.; security interest includes the proceeds from a recovery for decreased value of collateral, and not for loss of use of the collateral; destroyed property; damaged property.

Expectation Damages

Dynalectric Co., Inc. v. Clark & Sullivan Constructors, Inc.; promissory estoppel; general contractor; subcontractor; reliance damages; restitution damages.

Incorporation by Reference

Grandis Family Partnership, Ltd. v. Hess Corp.; arbitration agreement incorporated by reference; independent document.

Statute of Frauds Exception

Kolkman v. Roth; an exception to the statute of frauds applies in cases of promissory estoppel.

Condition Precedent

Moore Bros. Co. v. Brown & Root, Inc.; prevention doctrine is if a promisor prevents or hinders fulfillment of a condition to his performance, the condition may be waived or excused.

Mutual Mistake

Tracy v. Morell; even when there is no fraud, there may be mutual mistake; where both parties share a common false assumption about a vital fact upon which their bargain is based, the transaction may be avoided.

Federal Arbitration Act

Hall Street Associates, L.L.C. v. Mattel, Inc.; The FAA provides the exclusive grounds for expedited vacatur and modification of arbitration awards. These grounds are extreme such ascorruption, fraud, partiality, misconduct, etc.

Contractual Basis for Arbitration

Stolt-Nielsen S.A. v. AnimalFeeds International Corp.; A party may not be compelled under the FAA to submit to class arbitration unless there is a contractual basis for concluding that the party agreed to do so. Federal Arbitration Act.

Penalty Clause Damages

Lake River Corp. v. Carborundum Co.; liquidated damages clauses are enforceable but penalty damages clauses are not enforceable.

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Liquidated Damages in Consumer Contracts

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