Wednesday, December 11, 2013

Emanuel Law Outlines, Inc. v. Multi-State Legal Studies, Inc. case brief

Emanuel Law Outlines, Inc. v. Multi-State Legal Studies, Inc. case brief summary
899 F.Supp. 1081 (1995)

In a diversity action under 28 U.S.C.S. § 1332(a), plaintiff legal publisher filed an action for breach of contract against defendant bar review company. The company filed a counterclaim for breach of contract. A bench trial was held on the action.

The publisher contended in its breach of contract action that the company had failed to compensate it for its work under a contract to deliver legal outline supplements. The company contended that its performance had been excused by the publisher's late delivery under the terms of the contract; it further denied any existence of an oral agreement to extend the deadline.


  • The court held that while there was insufficient evidence to prove a modification of contract terms to extend the deadline, the publisher was still entitled to recover because the publisher had subsequently cured the breach as provided in the contract, and the delay was not a material breach of the contract. 
  • Further, the court held that even if there had been an uncured breach, under N.Y. U.C.C. Law § 2-612(3), the company could not have cancelled the entire agreement because it could not prove that the breach had caused a substantial impairment of the entire contract.

The court entered judgment for the publisher on its claim, and dismissed the company's counterclaim.

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