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Van Wagner Advertising Corp. v. S & M Enterprises (1986)

New York Court of Appeals - 492 N.E.2d 756, 67 N.Y.2d 186

Contributed by Jawshu

A building owner improperly canceled a lease with the plaintiff. The court ordered the owner to pay damages instead of carrying out the contract.

ICRA

Issue

Should a breaching party to a contract be ordered to specifically perform if damages instead would be an adequate remedy?

Conclusion

No – specific performance is appropriate if there is no other adequate remedy, but here, the lost value to the plaintiff is reasonably calculable, so monetary damages will suffice.

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Rule

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat.

Analysis

Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum

Brief Facts & Holding

Facts

  • Van Wagner Advertising (plaintiff) sued S & M Enterprises (defendant) for breach of contract and sought specific performance. Van Wagner Advertising originally entered into contract with Barbara Michaels on December 16, 1981. Michaels agreed to lease to Van Wagner space on the wall of her building in Manhattan, which Van Wagner then subleased to another company as a billboard. The contract specified that the lessor could cancel the lease upon the sale of the building to a third party. Michaels sold the building to S & M Enterprises on January 22, 1982, and S & M subsequently canceled Van Wagner’s lease. Van Wagner successfully argued in court that the parties intended only for the original lessor (Michaels) to be able to cancel the lease in the event of sale, not the new lessor (S & M). However, the court did not order specific performance, finding that damages would be an adequate remedy. The appellate court affirmed without opinion. Both parties appealed.

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Holding

  • Hey! This is the holding for Pennoyer v. Neff. It probably isn't the holding for the brief you're looking at. Join LSD+ for full access.
  • A named property within the court's jurisdiction is attached to satisfy an unrelated claim, despite the owner of said property being a non-resident of the state.
  • A named property within the court's jurisdiction is attached as the basis for the suit (e.g., to quiet title), despite the owner of said property being a non-resident of the state.
  • An individual is sued who is a resident of the state, or who has been served with process while physically located within the state.
  • jurisdiction - Neff is neither a resident, nor was served while within the state. Service by publication may be valid for an
  • proceeding, where the owner would be made aware of the suit due to their property being seized, but not for
  • jurisdiction - the action was on the basis of a suit to receive payment owed, and did not relate directly to a property within the state.
  • jurisdiction, as the Oregon property was not attached to the initial suit, but rather was added in after the suit happened - note that Neff did not even purchase the property until after the suit had concluded.
  • Accordingly, the Oregon court did not have jurisdiction over the initial suit between Neff and his lawyer.
  • Enforcement of a judgment without jurisdiction denies due process!
  • Additionally, although judgments rendered by other states are entitled to full faith and credit, if that state did not have jurisdiction to render the judgment, it loses such entitlement.
Case Deep Dive
Majority opinion by Kaye, J.
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Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. . Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum

Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Excepteur sint occaecat cupidatat non proident, . Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum

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