E. I. du Pont de Numours & Co. v. Chemtura Corp.

CourtConnecticut Appellate Court
DecidedJanuary 23, 2024
DocketAC45707
StatusPublished

This text of E. I. du Pont de Numours & Co. v. Chemtura Corp. (E. I. du Pont de Numours & Co. v. Chemtura Corp.) is published on Counsel Stack Legal Research, covering Connecticut Appellate Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
E. I. du Pont de Numours & Co. v. Chemtura Corp., (Colo. Ct. App. 2024).

Opinion

*********************************************** The “officially released” date that appears near the be- ginning of each opinion is the date the opinion will be pub- lished in the Connecticut Law Journal or the date it was released as a slip opinion. The operative date for the be- ginning of all time periods for filing postopinion motions and petitions for certification is the “officially released” date appearing in the opinion.

All opinions are subject to modification and technical correction prior to official publication in the Connecticut Reports and Connecticut Appellate Reports. In the event of discrepancies between the advance release version of an opinion and the latest version appearing in the Connecticut Law Journal and subsequently in the Connecticut Reports or Connecticut Appellate Reports, the latest version is to be considered authoritative.

The syllabus and procedural history accompanying the opinion as it appears in the Connecticut Law Journal and bound volumes of official reports are copyrighted by the Secretary of the State, State of Connecticut, and may not be reproduced and distributed without the express written permission of the Commission on Official Legal Publica- tions, Judicial Branch, State of Connecticut. *********************************************** E. I. DU PONT DE NEMOURS AND COMPANY v. CHEMTURA CORPORATION (AC 45707) Bright, C. J., and Alvord and Cradle, Js.

Syllabus

The plaintiff, D Co., sought, inter alia, to recover damages from the defendant for breach of contract in connection with D Co.’s purchase of the defen- dant’s fluorine chemical business and related equipment, located in Arkansas. The parties had previously entered into an asset purchase agreement, pursuant to which the defendant agreed to indemnify D Co. for any losses arising from a breach of the defendant’s representations and warranties in the agreement. The defendant’s representations and warranties related to the facility’s prior and ongoing compliance with various laws in connection with the operation of the defendant’s plant and to the good repair and condition of the transferred assets. Following the purchase of the business, D Co. requested reimbursement, pursuant to the agreement’s indemnification provisions, to cure several alleged deficiencies relating to, inter alia, four fire protection systems that were allegedly in violation of the standards set by the National Fire Prevention Association and incorporated by reference into the Arkansas State Fire Code, and two refrigeration units that were allegedly leaking refrigerant at an unacceptable rate. The parties ultimately were unable to settle their differences, and D Co. brought its claims to the trial court. Thereafter, C Co. was substituted as the plaintiff. The court rendered judgment for the defendant on C Co.’s breach of contract claims, and C Co. appealed to this court. Held: 1. C Co. could not prevail on its claim that the trial court failed to determine the applicable law and apply that law to the evidence to determine whether the fire protection systems at issue violated the Arkansas State Fire Code: the court’s determination that the evidence was unclear as to which Arkansas State Fire Code applied to each fire protection system was not clearly erroneous, as, although C Co. argued that testimony from one of the defendant’s former employees established time frames for the installation of each of the systems at issue, no evidence showed the actual installation date of any of the systems, the time frames pro- vided could have implicated any of four different versions of the Arkan- sas State Fire Code, and the court correctly determined that the applica- ble law would be the state fire code in effect at the time the systems in question were installed; moreover, C Co. failed to supply the court with a clear understanding of the Arkansas State Fire Code, which was the foreign law applicable to its claims, as C Co. provided only portions of certain National Fire Prevention Association standards and only one portion of one edition of a potentially applicable version of the Arkansas State Fire Code to the court, and it was not clear from the record which provisions of the state fire code C Co. alleged the defendant had violated as to the fire prevention systems at issue; furthermore, C Co. provided the court with no analysis as to whether the defendant’s alleged failure to comply with National Fire Prevention Association standards consti- tuted a violation of the Arkansas State Fire Code. 2. C Co. could not prevail on its claim that the trial court erred in concluding that federal regulations did not require the replacement of certain refrigeration units that allegedly leaked ozone depleting substances at rates exceeding the regulatory (40 C.F.R. § 82.156) threshold: although there was evidence in the record that the refrigeration units in question were not in compliance with federal regulations in 2006 and 2007, which was within three years prior to closing as required by the agreement, C Co. failed to provide evidence addressing the reasons the units were replaced in 2012 and 2015 or to prove that the replacement damages resulted from the contractual violations, as there was testimony that repair efforts undertaken by the defendant may have been successful, and the regulations set forth the option to repair a leaking refrigeration unit, rather than requiring that the unit be replaced; moreover, C Co.’s claim that the court erred in finding that it failed to prove that the 2006 and 2007 leak rates were the exclusive cause of the replacement of the refrigeration units, rather than a proximate cause, was unsupported by a fair reading of the court’s decision, as nowhere in its decision did the court hold, explicitly or implicitly, that the plaintiff was required to prove that the leak rates were the exclusive cause of the eventual replacement of those units in 2012 and 2015; furthermore, C Co. failed to provide expert testimony establishing that the 2006 and 2007 leaks, rather than the faulty performance of the units in subsequent years, led to the need for their replacement, as the evidence presented at trial indicated that refrigeration units were to be selected for replacement on the basis of type of refrigerant used, system maintenance costs, remaining life and system capacity considerations. Argued October 17, 2023—officially released January 23, 2024

Procedural History

Action to recover damages for breach of contract, and for other relief, brought to the Superior Court in the judicial district of Waterbury, where The Chemours Company FC, LLC, was substituted as the plaintiff; thereafter, the case was tried to the court, Brazzel- Massaro, J.; judgment for the defendant, from which the substitute plaintiff appealed; thereafter, the Supreme Court reversed the trial court’s judgment and remanded the case to that court for further proceedings; subse- quently, the court, Schuman, J., rendered judgment for the defendant, and the substitute plaintiff appealed to this court. Affirmed. Daniel J. Krisch, with whom were Jennifer L. Mor- gan, and, on the brief, Julie A. Lavoie and Joy C. Fuhr, pro hoc vice, for the appellant (substitute plaintiff). Brian J. Wheelin, with whom, on the brief, was Joseph L. Clasen, for the appellee (defendant). Opinion

CRADLE, J. This breach of contract case, which was commenced by the plaintiff, E. I. du Pont de Nemours and Company (DuPont),1 in 2014, was first tried to the trial court in 2018, after which the court rendered judg- ment in favor of the defendant, Chemtura Corporation, on the ground that DuPont failed to strictly comply with the notice provisions of an asset purchase agreement (APA) between the parties.

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E. I. du Pont de Numours & Co. v. Chemtura Corp., Counsel Stack Legal Research, https://law.counselstack.com/opinion/e-i-du-pont-de-numours-co-v-chemtura-corp-connappct-2024.