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Superior Court Denies Plaintiff's Motion for Reargument of Dismissal of Case for Failure to Substitute Counsel

Street Search Partners, L.P. v. Ricon Int'l., L.L.C., C.A. No. 04C-09-191-PLA, 2006 WL 1313859 (Del. Super. Ct. May 12, 2006). Following the court's earlier decision granting defendant's motion to dismiss, the plaintiff moved for reargument. Because the court did not misapprehend the law or the facts in its previous decision, the motion for reargument was denied. Plaintiff Street Search Partners LP ("Street Search") loaned $250,000 to Ricon International, LLC ("Ricon") with instructions for Ricon to re-loan the money to Enviro Board Corporation ("Enviro Board"). After Enviro Board failed to repay the loan to Ricon, Ricon failed to repay its related loan from Street Search. Street Search sued both Ricon and Enviro Board. The court dismissed the breach of contract claims against Enviro Board because Enviro Board was not an intended third party beneficiary to the contract between Ricon and Street Search. However, the unjust enrichment claim survived. Subsequently, the Street Search's counsel withdrew after Street Search failed to pay its bills. The court dismissed Street Search's action for failure to substitute counsel. A & R, another entity, attempted to intervene based on a contract transferring Street Search's rights to the claim to A & R. The court found that intervention was improper because the rule allowing for interventions allows a party with an interest in the litigation to intervene. The interest A & R was attempting to assert was that of Street Search. In reality, A & R was asking to step into Street Search's shoes. However, according to the court, even if intervention was proper, dismissal was appropriate because Street Search failed to substitute counsel before the deadline. Consequently, the court denied the motion for reargument. Authored by: Jason C. Jowers 302-888-6860 Share


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