Integrated Question Set 2
You are an associate in a law firm. Your supervisor has asked you to work on a matter for a new client, a landscaping company that recently completed a two-part project for a homeowner and is now in a dispute with the homeowner over payment.
The following is an excerpt from an email you received from your supervisor:
To: [You]
From: [Supervisor]
Subject: First Draft of Complaint
We have been unable to negotiate a settlement with the homeowner as to the two landscaping contracts, so we are preparing to file a complaint on behalf of the client against the homeowner. A law clerk has created a first draft of the complaint. I need you to make sure that all the language in the draft is factually and legally supported and that it complies with Franklin Rule of Civil Procedure 10(b). I want to keep the two contract claims separate in the interest of clarity and in the event we need to sever a claim. I am attaching a transcript of my interview with the client for your reference.
End of excerpt
The following is an excerpt from the transcript of the supervisor’s interview with the owner of the landscaping company:
[Supervisor]: I understand that your company had a landscaping contract with a homeowner who is refusing to pay for the work. Do you have a written contract?
[Owner]: Actually, we had two contracts with this homeowner; I have copies of both contracts with me.
[Supervisor]: Let’s discuss the contracts separately. What is the problem you’re having with the homeowner as to the first contract?
[Owner]: This homeowner recently built a house and wanted the backyard to be landscaped as a large entertainment space. There is a historic oak tree in the backyard, and she wanted it to be featured in the landscaping design. I visited the property and sketched a plan for the project that featured the oak tree, and then I drew up a contract and attached the landscaping plan to the contract. The homeowner signed the contract and paid $70,000 of the $140,000 contract price as a deposit before we started the work.
[Supervisor]: Did you complete the project as it was set out in the landscaping plan?
[Owner]: I think so. I did everything I was supposed to. Then I billed the homeowner for the remaining $70,000, but now she’s refusing to pay because she thinks we damaged the oak tree. She says the tree looks like it is dying. I don’t think we did anything that would have injured the tree. We’re careful about these things.
[Supervisor]: Okay, that gives me a good start on the issues concerning the first contract. Now, please tell me about the second contract.
[Owner]: A few days after we started work on the backyard landscaping project, the homeowner asked whether we could add a fishpond to the backyard. I said we could do it for $20,000, that we didn’t need a deposit, and that the amount was payable upon completion. She agreed to that price, and I drew up another contract, which she signed.
[Supervisor]: Did you complete the fishpond?
[Owner]: Yes. We completed the fishpond, and the homeowner expressed her satisfaction with it. I billed her for it after we had finished the work, but now she’s refusing to pay the $20,000 for the fishpond until we do something about the oak tree.
End of excerpt
You review the contracts and confirm that the terms are as the client described them. You also confirm that neither contract includes a liquidated damages clause or a clause allowing for the recovery of attorney’s fees in the event of breach. You then research the applicable law in your jurisdiction.
The following are excerpts of your jurisdiction’s rules regarding the form of pleadings:
Franklin Rule of Civil Procedure 10
. . .
(b) Paragraphs; Separate Statements. A party must state its claims or defenses in numbered paragraphs, each limited as far as practicable to a single set of circumstances. A later pleading may refer by number to a paragraph in an earlier pleading. If doing so would promote clarity, each claim founded on a separate transaction or occurrence—and each defense other than a denial—must be stated in a separate count or defense.
Franklin Rule of Civil Procedure 38
(a) Right Preserved. The right of trial by jury as declared by the Seventh Amendment to the Constitution—or as provided by a federal statute—is preserved to the parties inviolate.
(b) Demand. On any issue triable of right by a jury, a party may demand a jury trial by:
(1) serving the other parties with a written demand—which may be included in a pleading—no later than 14 days after the last pleading directed to the issue is served; and
(2) filing the demand in accordance with Rule 5(d).
End of excerpts
You find the following opinion in your jurisdiction:
Wexler Properties LLC v. Raymond Construction
Franklin Supreme Court (2022)
Wexler Properties hired Raymond Construction to renovate a downtown commercial building for office and retail use. The contract required Raymond to complete interior renovations and roof repairs by September 1. Raymond began work but later reassigned its crews to a more profitable project. As a result, Wexler’s project fell behind schedule. Raymond nevertheless assured Wexler that the work was progressing. Wexler eventually terminated the contract, hired a replacement contractor, and sued for breach of contract, seeking compensatory damages, punitive damages, and attorney’s fees.
. . .
The governing rules are settled. Punitive damages are not available for a mere breach of contract, even if the breach is intentional, willful, or done in bad faith. Pelleteri v. Howser (Franklin S. Ct. 2017). Punitive damages are permitted only when the conduct constituting the breach also amounts to an independent tort or other actionable wrong for which punitive damages are recoverable and the plaintiff proves the sort of aggravated misconduct that justifies punishment. Id.
Wexler proved an intentional breach. The evidence showed Raymond knowingly diverted labor and resources to earn more elsewhere and misled Wexler about the project’s status. That conduct was self-serving, but it did not establish an independent tort.
That Raymond acted deliberately does not change the result. Contract law compensates for broken promises; it does not punish for a contract breach unless the defendant also violated a duty imposed by law independent of the agreement.
Raymond breached its renovation contract, and Wexler is entitled to compensation for that breach. But Wexler proved only a breach of contractual duties and resulting economic loss. Because no independent tort was shown, punitive damages are unavailable.
Furthermore, attorney’s fees are generally not available for a claim for breach of contract. For a claim for breach of contract, a party may not recover attorney’s fees from the other party unless the claim is brought under a statute that provides for the recovery of attorney’s fees or the parties have provided for attorney’s fees in the contract. Because neither situation applies here, the plaintiff is not entitled to attorney’s fees.
The judgment denying punitive damages is affirmed.
So ordered.
End of opinion
The following is an excerpt of the draft complaint:
[caption omitted]
COMPLAINT AND JURY DEMAND
. . .
Facts
18. The first contract signed by Defendant [the homeowner] included a landscaping plan that featured a large existing oak tree.
19.–26. [Additional pleaded facts concerning the first contract]
27. Plaintiff [the client] completed the landscaping work according to the landscaping plan.
28. Plaintiff billed Defendant $70,000, which is the remaining payment due under the contract for the landscaping services.
29. Defendant has declined to pay the bill.
30. After Plaintiff completed the work under the first contract, Plaintiff and Defendant entered into a second contract for the construction of a fishpond.
31. Plaintiff completed construction of the requested fishpond on [date].
32. Defendant expressed satisfaction with the fishpond.
33. Plaintiff billed Defendant $20,000 for the work.
34. Defendant has made no payment as to the second contract.
Count 1: Breach of Contract of the First Contract: Landscaping
35. [Plaintiff re-alleges the allegations set forth in Paragraphs 18–34 above and incorporates the same herein by reference.]
36. Plaintiff and Defendant entered into the first contract for the landscaping services on [date].
37. Plaintiff substantially performed the landscaping services featuring the oak tree pursuant to the landscaping plan.
38. Defendant breached the contract by declining to pay the remaining balance due of $70,000 for the landscaping services.
Count 2: Breach of Contract of the Second Contract: Fishpond
39. [Plaintiff re-alleges the allegations set forth in Paragraphs 18–34 above and incorporates the same herein by reference.]
40. Plaintiff and Defendant entered into the second contract for the construction of a fishpond on [date].
41. Defendant agreed to pay $20,000 under the contract.
42. Plaintiff fully and properly performed the second contract by installing the fishpond.
43. Defendant breached the contracts by failing to pay Plaintiff $90,000: $20,000 for the agreed-upon work on the fishpond in addition to the $70,000 still owed under the first contract.
Demand for Jury Trial
44. Plaintiff demands a trial by jury of all triable issues pursuant to Franklin Rule of Civil Procedure 38.
Prayer for Relief
45. Plaintiff seeks contractual damages in the amount of $70,000 on the first contract and $20,000 on the second contract [and statutory interest].
46. Plaintiff seeks punitive damages in the amount of $5,000.
47. Plaintiff seeks reasonable attorney’s fees in an amount to be determined by the court.
[Signature block]
End of excerpt
Question: Per your supervisor's instructions, review the draft complaint and identify four distinct paragraphs that are inconsistent with the facts, the law, or the client’s known objectives, interests, and constraints. For each inconsistency, list the number of the paragraph in which the inconsistency occurs and explain how it is inconsistent with the facts, the law, or the client’s known objectives, interests, and constraints. Assume that the formatting, numbering, and bracketed information are correct. Do not simply restate or summarize the text. You do not need to provide a revision.
Provide one answer in each answer field. The length of each answer should be about 1–2 sentences.