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July 2018

Los Angeles Team Secures Summary Judgment in Breach of Contract Action for World’s Largest Security Company

Gordon Rees Scully Mansukhani Los Angeles Commercial Litigation partners Calvin Davis and Aaron Rudin and associate Crystal Yu secured a summary judgment for the world’s largest security company in a breach of contract action. The firm’s client had entered into a contract for a sale of one of its subsidiary businesses. This contract contained an obligation to make deferred payments over the course of years for inventory purchased. After initially making the required payments, defendant suddenly stopped. A lawsuit was filed and settled and defendant again began making payments only to stop again citing other disputes and litigation between the parties. 

After those other disputes were resolved in favor of the firm’s client in a trial handled by Davis and Rudin, this new action was filed in Central District Court seeking to enforce the terms of the inventory agreement.  Gordon & Rees filed a motion for summary judgment on behalf of the client arguing that defendant’s liability under the contract was not reasonably in dispute and that the damages were clear.  For their part, the defendant’s made repeated efforts to obfuscate the issues by raising dozens of objections to their obligations under the agreement including the quality of the inventory and the amount of the inventory provided. 

The court rejected all of these arguments, granted the firm’s motion in full and entered and judgment in favor of the firm’s client for principal and interest in excess of $1.2 million. The Los Angeles team would like to acknowledge legal secretary Sandy Halvorsen for her assistance with this matter.

Calvin E. Davis
Aaron P. Rudin
Crystal W. Yu