Agreed that there is a benefit in buying a quality product, and the Clothes Horse has our logo and preferences on file.
But it would be interesting (not that it’s any of my business) to figure out what the upcharges, if any, were on the blankets, tack, and other products bought for the ponies.
With respect to the complaint, answers, and motion to dismiss, here’s a summary of what the various people-who-have-posted-who-admit-to-being-lawyers (and I’m one of them) have said:
(1) The complaint is not well written and is confusing, which may or may not be a product of some or all of the following: (i) quirks of New York civil practice, (ii) time pressures to get something on file, (iii) inadequate facts or misunderstood information from the client, and/or (iv) sloppy lawyering.
(2) The plaintiff (Mrs Tichner Dilbendian) sues (i) Heritage Farms, (ii) her daughter’s trainer at Heritage, Patricia Griffith, and (iii) the vet who did the PPE, Dr. Christopher Miller.
(3) Plaintiff alleges Heritage and Griffith knew she was wanted a pony for the specific purpose of being a show hunter for plaintiff’s daughter and as an investment for later resale, and they misrepresented that the pony (Sports Talk a/k/a Joey) was suitable for those purposes.
(4) Plaintiff alleges that she wanted a PPE done before she bought the pony, and that Heritage/Griffith chose Dr. Miller to do the PPE. Dr. Miller, allegedly knowing the purpose for which the pony was being purchased, did the PPE and did x-rays on the pony.
(5) Plaintiff alleges that the x-rays showed rotation in the pony’s feet (no details of which feet or how much rotation), making the pony unsuitable for the intended purpose. Plaintiff alleges each of the defendants – Heritage, Griffith, and Dr. Miller – knew but did not disclose that information to the plaintiff/buyer. The complaint alleges that, instead, after the PPE, Heritage, Griffith, and Dr. Miller told plaintiff that the pony was “sound, healthy and possessed no physical defects,” was fit for the intended purpose, and was a good investment. She alleges she bought the pony in reliance upon these representations.
(6) Plaintiff alleges that sometime after the purchase she learned that the pony had rotation indicating laminitis, and was therefore not sound or suitable for the intended purpose. She alleges that she later found out that the x-rays from the PPE “revealed physical defects and rotation in his feet.”
(7) She further alleges that sometime after the purchase, and apparently after she left Heritage (though that is unclear), she learned that while the pony was at Heritage it frequently suffered from sore feet and had its feet blocked to show at Pony Finals.
(8) The complaint alleges the pony’s undisclosed physical defect(s) renders him useless for the intended purpose and destroys his investment value. The plaintiff seeks damages from all defendants of: (i) the purchase price of the pony, (ii) show costs, (iii) training, board, and other maintenance costs, and (iv) future costs, in the amount of at least $325,000.00.
(9) Plaintiff alleges causes of action for:
(i) Fraud and Misrepresentation (all defendants): they allegedly knew about the pony’s problems and intentionally lied to her to get her to buy the pony and spend a bunch of money on training and showing;
(ii) Negligent Misrepresentation (all defendants): they allegedly negligently failed to use reasonable care and competence to obtain and communicate to her information about the pony’s problems and the consequences of those problems;
(iii) Professional Negligence (Dr. Miller): he allegedly failed to use due diligence to obtain the pony’s prior medical records; failed to discover, diagnose, and report the pony’s prior and existing physical problems; failed to disclose the information about the pony’s unsoundness and defects despite having actual knowledge of them; and failed to perform a proper pre-purchase exam.
(iv) Breach of Contract (Heritage and Griffith): they allegedly “breached the contract of sale” by failing to disclose that the horse was unsound and not suitable for the intended purpose.
(v) Violation of New York General Business Law sec. 349 (Heritage and Griffith): this is the NY version of a commonly found statute in most states, against deceptive and unfair trade practices, which has a “laundry list” of prohibited practices, recited in the complaint. The complaint uses the right caption, but mistakenly references the Pennsylvania version of the law in the text.
(vi) Breach of Express Warranty (Heritage and Griffith): they allegedly expressly warranted (promised and represented) that the pony was sound and suitable for the express purposes of being a good show hunter pony for the daughter and a good investment pony, and they allegedly breached those warranties because the pony was not suitable for those purposes;
(vii) Breach of Implied Warranty of Merchantability (Heritage and Griffith): under the circumstances, Heritage was a merchant selling particular goods (the pony – horses are classified as “goods” under the law), the law implied a warranty that the pony was merchantable, and they breached that warranty because the pony was not able to pass reasonable goods for the ordinary purposes of such goods in the particular trade. Again, the complaint is sloppy and wrongly references the Pennsylvania version of the Uniform Commercial Code instead of the equivalent NY UCC statute.
(vii) Breach of the Implied Warranty of Fitness for a Particular Purpose (Heritage and Griffith): the circumstances gave rise to an implied warranty that the pony was suitable for the particular purposes for which it was being bought, of which Heritage and Griffith were aware, and they allegedly breached that warranty because the pony was not fit for those purposes.
(9) The breach of contract claim is just weird because the contract of sale wan’t with Heritage or Griffith, it was between the buyer and the seller. Heritage and Griffith were (apparently) the buyer’s agents, not the seller. Also, the sales contract expressly says the sale is on an “as is” basis, without any warranties.
(10) For some unknown reason, the complaint does not expressly allege that Heritage, Griffith, and/or Dr. Miller were acting as agents of the plaintiff, that they owed a fiduciary duty to plaintiff as her agents, and that they breached that duty by failing to disclose the pony’s problems revealed by the PPE. The “as is” provision in the sales contract would not be much of a defense if they had a duty to tell their client, the buyer, all the facts and they failed to do so.
More in the next post.