MSM Investments Co., LLC v. Carolwood Corp.
Opinion of the Court
MEMORANDUM
This case involves a contract dispute under Oregon law. MSM Investments Company (“MIC”) claims the district court erred by (1) failing to award an additional $200,000 in damages; (2) granting Bailey and Vidot’s motion for summary judgment on the claim for breach of good faith and fair dealing; (3) failing to issue a permanent injunction prohibiting Carolwood from representing that it holds a license under patents owned by MIC.
MIC’s other claims do not merit reversal. The scope of a party’s duty of good faith and fair dealing is closely related to the express provisions of the contract. See Pollock v. D.R. Horton, Inc.—Portland, 190 Or.App. 1, 11-12, 77 P.3d 1120 (2003). Because the provisions enumerating Bailey and Vidot’s duties under the contract were unrelated to Carolwood’s future business dealings with MIC, the district court did not err in granting summary judgment on the action for breach of good faith and fair dealing.
Nor did the district court abuse its discretion in denying a permanent injunction. MIC failed to demonstrate a “cognizable danger of a recurrent violation.” United States v. Laerdal Mfg. Corp., 73 F.3d 852, 854 (9th Cir. 1995) (internal quotation marks omitted).
AFFIRMED IN PART, REVERSED IN PART, AND REMANDED for entry of judgment consistent with this disposition. Each party shall be responsible for its own costs on appeal.
This disposition is not appropriate for publication and may not be cited to or by the courts of this circuit except as provided by Ninth Circuit Rule 36-3.
Reference
- Full Case Name
- MSM INVESTMENTS COMPANY, LLC v. CAROLWOOD CORPORATION G. Rex Bailey Vidot Enterprises, Inc.
- Status
- Published