Lewis & Lin Obtains Dismissal of Case Against Major Internet Daily Deal Retailer

Lewis & Lin secured a victory for our client today in a case involving an e-commerce site’s liability for misdirected goods.  Plaintiff sued our client, a top five Internet daily deal site, for damages resulting from the loss of a shipment of $200,000 worth of flat screen TVs.

Lewis & Lin filed a motion to dismiss on three grounds:

(1) Plaintiff failed to state a claim for breach of contract because, under the Uniform Commercial Code, the Purchase Invoice governing the sale of the TVs was a “shipment” contract, not a “destination” contract, and the risk of loss was borne by the plaintiff;

(2) Plaintiff failed to state a negligence claim because there was no allegation of a legal duty independent of the duty imposed by the contract itself; and

(3) Plaintiff failed to state claims for unjust enrichment or money had and received because those quasi-contract doctrines do not apply where the parties’ obligations are governed by a written contract for the sale of goods.

In a Report and Recommendation adopted by Judge Richard J. Arcara of the U.S. District Court of the Western District of New York, the court agreed with Lewis & Lin’s arguments on all three points.  The case is Stampede Presentation Products, Inc. v. Productive Transportation, Inc. et al., No. 12-CV-491A (Sr) (W.D.N.Y.).