We Transport, Inc. [Plaintiff] commenced this action against the Westbury Union Free School District [Westbury] seeking to recover damages for an alleged breach of contract.
Plaintiff, a school bus transportation contractor for Westbury, alleged Westbury breached a contract between the parties by refusing to pay for transportation services that the Plaintiff alleged it stood ready to provide during the months of March, April, May, and June of the 2020 but which services were neither required by the school district nor provided to it by Plaintiff.
Westbury moved to dismiss the complaint. Supreme Court denied Westbury's motion and Westbury appealed the court's ruling.
Citing Shah v Exxis, Inc., 138 AD3d 970, the Appellate Division explained that "[on] a motion pursuant to CPLR §3211(a)(7) to dismiss [an action] for failure to state a cause of action, the court must accept the facts alleged in the complaint as true, accord the plaintiff the benefit of every possible favorable inference, and determine only whether the facts as alleged fit within any cognizable legal theory".
The Appellate Division then ruled that Supreme Court should have granted that branch of the Westbury's motion to dismiss the cause of action alleging breach of contract, noting that the essential elements of a breach of contract cause of action are: [1] the existence of a contract; [2] the plaintiff's performance under the contract; [3] the defendant's breach of that contract; and [4] resulting damages.
The Appellate Division opined that to state a cause of action to recover damages for a breach of contract, the plaintiff's allegations must identify the provision of the contract that it contends was breached.
Finding Plaintiff's complaint "failed to specify the provision of the parties' contract that was allegedly breached" and no provision was identified that would permit the Plaintiff to recover payment from Westbury in exchange for "being available to provide transportation services", the Appellate Division reversed the Supreme Court's order "insofar as appealed from" and granted Westbury's motion pursuant to CPLR §3211(a)(7) to dismiss Plaintiff's complaint.
Click HERE to access the Appellate Division's decision posted on the Internet.