BLB Aviation South Carolina v. Jet Linx Aviation, LLC, No. 14-3365 (8th Cir. 2015)
Annotate this CaseBLB filed suit against Jet Linx and Jamie Walker for damages arising from breach of contract. Jet Linx counterclaimed. The district court awarded damages to both parties and both parties appealed. The court concluded that cost-of-repair damages as argued by BLB would result in windfall and, therefore, in economic waste, a result the district court properly avoided. The court further concluded that diminution in value provides the appropriate measure of damages. Finally, the district court did not err in finding that BLB failed to prove its damages with sufficient certainty because BLB did not offer evidence of the reduced value of either airplane resulting from Jet Linx’s failure to provide a complete set of maintenance records and parts tags. Accordingly, the court affirmed the district court's judgment for Jet Linx.
Court Description: Gruender, Author, with Riley, Chief Judge, and Bye, Circuit Judge] Civil case - Contracts. For the court's prior opinion in the matter, see BLB Aviation South Carolina, LLC v. Jet Linx Aviation, LLC, 748 F.3d 829 (8th Cir. 2014), where the court remanded the matter for the district court to analyze whether the cost-of-repair damages BLB sought would entail unreasonable economic waste before choosing between cost-of-repair and diminution-in-value as the measure of damages; the cost-of-repair was not the proper measure of damages because it would entail replacing good parts with new parts, just for the sake of obtaining complete maintenance records, thereby creating economic waste; further using this measure would result in a windfall to BLB; however, while diminution of value was the proper measure, BLB failed to prove its damages with sufficient certainty, and the district court did not err in denying BLB recovery
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