Facts

Defendant Bayerische Hypo-Und Vereinsbank AG (HVB) served as a lender in transactions entered into by plaintiff Sussex Financial Enterprises Inc, which provided a financial product, Custom Adjustable Rate Debt Structure (CARDS), to high-income clients.

Sussex filed suit against HVB alleging fraud and violations of the Racketeer Influenced and Corrupt Organizations Act (RICO).

PLAINTIFF'S CONTENTIONS:
Sussex contended that HVB made misrepresentations to Sussex in the CARDS negotiations, stating it intended to renew loans for thirty years, and that Sussex never would have entered into an agreement with HVB had it known HVB planned to recall the loans after a year.

DEFENDANT'S CONTENTIONS:
HVB contended that Sussex could not prove it justifiably relied on HVB's promise of loan renewal because HVB's alleged statements were inadmissible as contradictory to the terms of their agreement. HVB alleged that the agreement between the parties gave it the right not to renew the loans after the first year.

Result

The court granted summary judgment in favor of HVB, finding Sussex had not shown it justifiably relied on HVB's representations.