MERRITT HILL VINEYARDS, INC. V. WINDY HEIGHTS VINEYARD, INC
61 N.Y.2d 106, 460 N.E.2d 1077 (1984)
NATURE OF THE CASE: This was a dispute and cross appeals over a purchase deposit. Marritt
(P), buyer, sought review of a decision, which granted Windy (D),seller's, motion for
summary judgment in P's cause of action for consequential damages even though D had not
cross-appealed in the lower court. D appealed an order that granted D's motion for summary
judgment for the return of a sale deposit.
FACTS: Merrit (P) entered into a contract with Windy (D) to purchase a majority interest
in D's Yates County vineyard. and tendered a $15,000 deposit. The conditions of forfeiture
of that deposit called for non-forfeiture in the event that D had not obtained title
insurance or had not received confirmation from the Farmers Home Administration that the
mortgages on the vineyard are in effect and that the sale would not constitute a default. P
discovered at closing that neither the policy nor the confirmation had been issued. P
refused to close and demanded his deposit. D refused and P sued. P's motion for summary
judgment was denied which was reversed and the motion was granted with a dismissal of a
consequential damages claim. Both parties appealed.
ISSUE:
RULE OF LAW:
HOLDING AND DECISION:
LEGAL ANALYSIS:
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