Complex Commercial Litigation Update

April 26, 2018

Publication

In the first quarter of 2018, the Delaware Superior Court’s Complex Commercial Litigation Division (“CCLD”) considered a number of disputes arising from contractual agreements and addressed issues ranging from the enforceability of liquidated damages provisions to whether termination fees are payable in the event a contract is not renewed. Additionally, a recently released opinion dealing with discovery issues highlights the CCLD’s ability to quickly and efficiently resolve discovery disputes involving the sufficiency of document production and the use of contention interrogatories. For more information about the CCLD or past issues of this mailing, please visit our website.

Judge Carpenter Considers Enforceability of Liquidated Damages Provision and Pleading Standards for Fraudulent Inducement Claims
In DecisivEdge, LLC v. VNU Group, LLC, C.A. No. N17C-05-584-WCC-CCLD, Judge Carpenter granted in part and denied in part the defendant’s motion to dismiss claims for, inter alia, breach of contract and fraudulent inducement.  
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Judge Davis Considers Issues of Collateral Estoppel in Insurance Coverage Dispute Resulting from Court of Chancery Litigation
In Arch Insurance Co. v. David H. Murdock, C.A. No. N16C-01-104 EMD CCLD, Judge Davis granted in part and denied in part the plaintiff insurers’ motion for summary judgment arguing that the insurers did not have a duty to indemnify the insureds.  
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Judge Johnston Grants Motion to Dismiss in Case Arising from Embezzlement Scheme
In Continental Finance Company, LLC v. TD Bank, N.A., C.A. No. N17C-07-002 MMJ CCLD, Judge Johnston granted a motion to dismiss a negligence case arising out of an embezzlement scheme perpetuated by a non-party.  Plaintiff Continental Finance Company, LLC sued defendant TD Bank, N.A. for negligence and alleged that TD Bank negligently failed to detect an embezzlement scheme.     
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Judge Carpenter Grants Motion to Dismiss Breach of Contract Claim after Finding Defendant Presented the Only Reasonable Interpretation of Contractual Language
In Equity Trust Company v. Interactive Brokers LLC, C.A. No. N17C-05-252 WCC CCLD, Judge Carpenter granted a motion to dismiss after finding that the defendant’s interpretation was the only reasonable interpretation of the contractual agreement at issue. 
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Special Discovery Master Resolves Discovery Issues Concerning Sufficiency of Document Production and Contention Interrogatories
In Imorphics Ltd. v. THINK Surgical, Inc., C.A. No. N16C-09-149-MMJ-CCLD, a special discovery master was tasked with resolving cross-motions to compel.  The plaintiffs’ motion argued that the defendant, THINK Surgical, Inc., failed to sufficiently respond to certain interrogatories and requests for production.   
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