Imagine that an out-of-state company causes an injury to someone in North Carolina, but does so only through acts outside North Carolina. Can the plaintiff use N.C. Gen. Stat. § 75-1.1 to seek treble damages and attorney fees? Two judges on the same federal court have recently given opposite answers […]
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 […]
