Doty v. Meruelo
This case concerns the sale of a family owned business, Doty Bros. Equipment Co. (Doty Bros.), which engages in the laying of underground pipe. The sellers,[1]plaintiffs below, appeal from a summary judgment in favor of the purchaser, Meruelo Enterprises, Inc. (Meruelo Enterprises), and other defendants.[2] Meruelo Enterprises cross-appeals from an order of dismissal (judgment) of its cross complaint seeking attorney fees incurred in defending a prior federal action prosecuted by John Doty. Court find a triable issue of fact concerning whether Meruelo Enterprises breached the covenant of good faith and fair dealing implied in the sale agreements and therefore reverse the summary judgment. Finding no error in the denial of attorney fees and costs for defending the federal action, Court affirm the order of dismissal.
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