Professional Documents
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IHFC Properties, LLC v. Whalen Furniture Manufacturing, 4th Cir. (2015)
IHFC Properties, LLC v. Whalen Furniture Manufacturing, 4th Cir. (2015)
No. 14-1484
No. 14-1536
Appeals from the United States District Court for the Middle
District of North Carolina, at Greensboro. Thomas D. Schroeder,
District Judge. (1:10-cv-00568-TDS-LPA)
Submitted:
Decided:
PER CURIAM:
Following a bench trial, the district court concluded that
Whalen Furniture Manufacturing, Inc. (Whalen Furniture), was
estopped from asserting a statute of frauds defense and awarded
IHFC
Properties,
LLC
(IHFC),
$172,470.51,
which
represented
Index
(CPI)
escalation
charges,
and
showroom
taxes
remaining under the lease that IHFC was unable to mitigate after
Whalen Furniture vacated IHFCs property.
Whalen Furniture appeals, arguing that it should not be
estopped
from
asserting
statute
of
frauds
defense;
enforce
the
contract
against
it.
Whalen
Furniture
also
it
cannot
escalation
charges.
should
be
charges
held
liable
because
it
for
the
CAM
was
not
on
charges
notice
and
of
CPI
these
attorneys
interest.
awarded
fees,
or,
contractual
prejudgment
alternatively,
statutory
interest
and
prejudgment
I.
[W]e review judgments stemming from a bench trial under a
mixed standard: factual findings are reviewed for clear error,
whereas conclusions of law are reviewed de novo.
Makdessi v.
Fields, ___ F.3d ____, 2015 WL 1062747 at *4 (4th Cir. Mar. 12,
2015)
(citation
and
cases
in
which
assessments
of
internal
district
witness
quotation
courts
marks
factual
credibility
or
omitted).
findings
the
turn
weighing
In
on
of
its
diversity
North
Carolina
inconsistent
positions
accepts
benefits
under
may
written
document
to
transaction
it
regarding
be
or
instrument
estopped
to
take
and
a
then
later
accepts
position
clearly
Sonopress,
inconsistent
Inc.,
557
positions.
S.E.2d
176,
181
&
(N.C.
F
Ct.
Slosman
App.
v.
2001).
cannot
be
reduced
to
any
rigid
formulation.
Whitacre
conclude
that
Whalen
Furniture
was
estopped
from
Furniture
material
terms,
accepted
when
the
its
lease,
with
president
knowledge
informed
of
IHFCs
the
vice
Whalen
customer
during
an
off-market
time,
privilege
only
that
this
case
is
virtually
identical
to
&
unable
to
reach
premises.
an
Id.
agreement,
and
the
defendant
vacated
the
Appeals
concluded
that
quasi-estoppel
was
not
appropriate
not
result
positions.
in
defendants
Id. at 181.
taking
two
inconsistent
found that Whalen Furniture accepted the terms of the lease and
enjoyed
the
Therefore,
benefits
its
of
assertion
the
lease
of
the
for
nearly
statute
of
one
year.
frauds
is
and
its
leaseholder.
acceptance
of
benefits
available
only
to
Whalen
of
APA
Furniture
Marketing
asserts
because
that
APA
it
was
Marketing
at
most
retained
retaining
any
reversionary
interest
in
the
term
itself.
paid the rent APA Marketing owed on APA Marketings behalf, not
because Whalen Furniture had agreed to sublet the showroom from
APA Marketing.
Whalen
Furniture
asserts,
that
APA
Marketing
retained
calculation,
calculation
Whalen
IHFC
of
CAM
Furniture
damages
for
and
arguing
charges
that
and
therefore
those
charges.
IHFC
CPI
the
did
not
escalation
court
To
discuss
charges
erroneously
the
extent
that
the
with
awarded
Whalen
outstanding
included
CAM
balance
and
CPI
for
the
April
escalation
2008
charges,
invoice,
and
which
discussed
the
which
IHFC
understood
Whalen
Furniture
received
copy
of
the
April
would
be,
Moreover, Whalen
2008
invoice,
which
these
showroom.
charges
without
complaint
while
occupying
the
when
it
refused
to
award
prejudgment
interest
at
the
became
Whalen
Whalen Furniture.
court
should
have
Furniture
employees,
should
be
imputed
to
statutory
prejudgment
interest.
In re Under Seal,
Fundamental error is
more limited than the plain error standard that [this court]
appl[ies] in criminal cases.
Id. at 285.
Id. at 286.
Id.
627
(internal
F.3d
941,
954
(4th
Cir.
2010)
alterations
and
We have
fairness,
proceedings.
integrity
Id.
at
or
736
public
reputation
(internal
quotation
of
judicial
marks
and
alteration omitted).
We have refused, however, to undertake plain error review
where the party failed to make its most essential argument in
its briefs or at oral argument: it never contended that the
9
district
court
fundamentally
or
even
plainly
erred.
In
re
are
satisfied
claims
and
its
here.
failure
to
Thus,
IHFC
argue
for
has
abandoned
plain
error
these
and
its
application on appeal surely marks the end of the road for its
argument
court.
for
reversal
not
first
presented
to
the
district
omitted).
V.
Accordingly, we affirm the district courts judgment.
dispense
with
oral
argument
because
the
facts
and
We
legal
10