In a recent federal case, section 75-1.1 made the difference between the plaintiff recovering nothing and recovering almost two million dollars. This outcome underscores two key features of section 75-1.1: First, the statute allows businesses, as well as consumers, to sue. Second, parties can win under section 75-1.1 even when […]
Claims under N.C. Gen. Stat. § 75-1.1 can turn up in unexpected places—including a bankruptcy court in Manhattan. Recently, a section 75-1.1 claim made its way from Hyde County, North Carolina, to the Big Apple, courtesy of the bankruptcy proceedings of GMAC Mortgage and its parent, Residential Capital. In re […]
The economic-loss rule says that a contract dispute generally does not state a tort claim. The concern is that if a plaintiff could recover tort damages, that outcome would disregard the expectations reflected in the parties’ contract. The rule comes up most often when plaintiffs seek to recover only the […]
Today, the North Carolina Supreme Court issued opinions and rulings on petitions. Readers of this blog will find at least one of the opinions and one of the petition rulings interesting. First, in Dallaire v. Bank of America, the Supreme Court held that “[o]rdinary borrower-lender transactions . . . do not […]