Arloe Designs LLC v. Ark. Capital Corp.

Arloe Designs, LLC proposed to build a building at an airport. Arkansas Capital Corporation (ACC) and National Bank of Arkansas (NBA) allegedly worked together to procure a loan for the building’s construction. After the NBA approved financing for the project, Arloe entered into a thirty-year lease for the new hangar. Later that month, Arloe learned that NBA would not close the loan without a bond as collateral, which Arloe did not give, and therefore, the loan was not closed. Arloe sued ACC and NBA, alleging breach of contract, violations of the Arkansas Deceptive Trades Practices Act, negligence, and promissory estoppel. The circuit court granted summary judgment to Defendants as to all but Arloe’s promissory estoppel claim, and limited damages for that claim to the money Arloe had spent in reliance on the claimed promise. At trial, a jury found Arloe had not proved that either defendant had made a promise to loan Arloe money. The Supreme Court affirmed, holding (1) Arloe’s claims that the circuit court erred in denying it recovery for lost profit damages and limiting its damages on its promissory-estoppel claim were moot; and (2) summary judgment was proper in regard to the remainder of Arloe’s claims. View "Arloe Designs LLC v. Ark. Capital Corp." on Justia Law