Somerset Studios, LLC et al v. School Specialty, Inc.

Filing 38

ORDER AFTER HEARING re 37 Motion for Summary Judgment. Defendant's supplemental brief to be filed by 1/4/12. Plaintiff's supplemental response by 1/11/12. Signed by Chief Magistrate Judge MARIA-ELENA JAMES on 12/20/11. (bjtS, COURT STAFF) (Filed on 12/21/2011)

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1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 SOMERSET STUDIOS, LLC; GAIL A. STOFFER, No. C 10-5527 MEJ 8 Plaintiffs, 9 v. SCHOOL SPECIALTY, INC.; DOES 1-10, 11 Defendants. _____________________________________/ 12 For the Northern District of California UNITED STATES DISTRICT COURT 10 ORDER AFTER HEARING RE: MOTION FOR SUMMARY JUDGMENT 13 In reviewing the papers submitted by the parties in connection with Defendant’s Motion for 14 Summary Judgment (Dkt. No. 27), and considering the arguments made by counsel at the hearing on 15 December 15, 2011, the Court finds that Defendant’s Motion with respect to Plaintiffs’ third claim 16 for breach of contract requires further briefing. Accordingly, each party may file a supplemental 17 brief no longer than five pages. Defendant’s supplemental brief, if any, shall be filed by January 4, 18 2012. Plaintiff’s supplemental response, if any, shall be filed by January 11, 2012. Both parties 19 may use the questions below as a guide for framing their briefs to the Court. The parties, however, 20 are not restricted to addressing only these issues. 21 1. Is Defendant seeking summary judgment or partial summary judgment on Plaintiffs’ 22 breach of contract claim? Defendant appears to at first seek dismissal of contracts that were 23 executed before November 2, 2008 due to the two-year statute of limitations. But in later parts of its 24 Motion and Reply, Defendant appears to seek summary judgment on Plaintiffs’ entire Complaint. 25 See Motion at 18:13; Reply at 14:24-25, 15:20-21. If the Court only grants partial summary 26 judgment, what issues would remain as part of this claim? What issues would remain if the Court 27 grants partial summary judgment but finds that a four-year statute of limitations applies? 28 2. Is Plaintiffs’ breach of contract claim based on an oral contract, written contract, or both? 1 Specifically, what contracts do Plaintiffs allege were breached and what are their damages? Where 2 are these allegations located in Plaintiffs’ Complaint? 3 3. The Court notes that there is a substantive body of contract law on promises implied in 4 writings. See 3 Witkin, Cal. Proc. 5th (2008) Actions, § 510, p. 653. How does this law, in 5 connection with Defendant’s purchase orders, affect whether the applicable statute of limitations for 6 Plaintiffs’ breach of contract claim is two or four years? 7 4. Defendant’s Reply does not address Plaintiffs’ argument that thE breach of contract claim 8 does not accrue until Defendant formally refused to pay Plaintiffs’ the true contractual amount. 9 What were the terms for payment under the purchase orders or any other agreements between the 10 IT IS SO ORDERED. 12 For the Northern District of California UNITED STATES DISTRICT COURT 11 two parties? Is this in the record? 13 Dated: December 20, 2011 14 _______________________________ 15 Maria-Elena James 16 Chief United States Magistrate Judge 17 18 19 20 21 22 23 24 25 26 27 28 2

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