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You are here: Home1 / Contract Law2 / DOCTRINE OF INDEFINITENESS IMPROPERLY APPLIED TO ORAL CONTRACT; BOTH QUANTUM...
Contract Law

DOCTRINE OF INDEFINITENESS IMPROPERLY APPLIED TO ORAL CONTRACT; BOTH QUANTUM MERUIT AND BREACH OF CONTRACT PROPERLY PLED WHERE DEFENDANTS DENY EXISTENCE OF CONTRACT.

The First Department, reversing Supreme Court, determined questions of fact precluded summary judgment in favor of defendants. Plaintiff alleged breach of an oral contract and quantum meruit (unjust enrichment) causes of action. Although there was no express agreement that plaintiff was entitled to payment for work done before termination, the doctrine of indefiniteness should not have been applied to dismiss the breach of contract claim. In addition, because defendants alleged there was no enforceable contract, plaintiff’s quantum meruit cause of action should not have been dismissed. Plaintiff does not have to elect a remedy (breach of contract or quantum meruit) in that circumstance. With regard to the breach of oral contract cause of action, the court wrote:

An oral agreement may be enforceable as long as the terms are clear and definite and the conduct of the parties evinces mutual assent “sufficiently definite to assure that the parties are truly in agreement with respect to all material terms” … . However, not all terms of a contract need be fixed with absolute certainty, and courts will not apply the doctrine of indefiniteness to “defeat the reasonable expectations of the parties in entering into the contract” … . Where “there may exist an objective method for supplying the missing terms needed to calculate the alleged compensation owed plaintiff,” a claimed oral agreement is “not as a matter of law unenforceable for indefiniteness” … . Kramer v Greene, 2016 NY Slip Op 05776, 1st Dept 8-11-16

CONTRACT LAW (DOCTRINE OF INDEFINITENESS IMPROPERLY APPLIED TO ORAL CONTRACT; BOTH QUANTUM MERUIT AND BREACH OF CONTRACT PROPERLY PLED WHERE DEFENDANTS DENY EXISTENCE OF CONTRACT)/INDEFINITENESS DOCTRINE (CONTRACT LAW, DOCTRINE OF INDEFINITENESS IMPROPERLY APPLIED TO ORAL CONTRACT)/QUANTUM MERUIT (BOTH QUANTUM MERUIT AND BREACH OF CONTRACT PROPERLY PLED WHERE DEFENDANTS DENY EXISTENCE OF CONTRACT)/UNJUST ENRICHMENT (BOTH QUANTUM MERUIT AND BREACH OF CONTRACT PROPERLY PLED WHERE DEFENDANTS DENY EXISTENCE OF CONTRACT)/ORAL CONTRACT (DOCTRINE OF INDEFINITENESS IMPROPERLY APPLIED TO ORAL CONTRACT; BOTH QUANTUM MERUIT AND BREACH OF CONTRACT PROPERLY PLED WHERE DEFENDANTS DENY EXISTENCE OF CONTRACT)

August 11, 2016
Tags: First Department
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