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Contracts
Breach of Contract
Rescission

Rio Properties Inc. v. Stewart Annoyances Ltd.

Published: Dec. 3, 2005 | Result Date: Sep. 7, 2005 | Filing Date: Jan. 1, 1900 |

Case number: CVS01459LRH(PAL) Verdict –  $2,000,000

Judge

Larry R. Hicks

Court

USDC Nevada


Attorneys

Plaintiff

Kristina Pickering

Denise Barton

Stephen M. Morris


Defendant

John H. Mowbray

Louis R. Miller III
(Miller Barondess LLP)

Kerry Garvis Wright


Experts

Plaintiff

Owen Sloane
(technical)

Defendant

Joseph Sugerman
(medical)

Martin Kravitz
(technical)

Facts

In November 2000, Rod Stewart informed the Rio All-Suite Hotel and Casino in Las Vegas, Nev., that he could not perform a scheduled concert during the New Year's Day weekend of January of 2000. He had undergone throat surgery in May of 2000 to treat thyroid cancer, and could not perform because he was still recovering. Stewart refused the Rio's request that he return the $2 million contract fee. He demanded, pursuant to the contract terms, that the Rio reschedule the gig.

Damages

The Rio requested that the $2 million advance be returned to it, or for contract damages of $2 million. It did not seek specific performance.

Result

The jury found no enforceable contract, so that Stewart had to return the $2 million, with interest, to the Rio.

Other Information

Counsel for the Rio plans to move for costs and fees pursuant to the fees clause in Stewart's contract.

Deliberation

three hours

Length

two weeks


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