CHARLESTON — The West Virginia Supreme Court of Appeals found that there was no error in a lower court's decision to partially deny summary judgment.
"Under the limited facts and circumstances of this case, we find no error with the circuit court’s consideration of evidence presented by respondents regarding the author of the parties’ agreement, as such evidence showed the situation of the parties and the circumstances surrounding when the writing was made," the May 26 memorandum decision stated.
Red Lobster and the City of Huntington, through then-Mayor J. Roger Smith, signed an agreement in 1984 for the restaurant to develop premises for a restaurant with ample parking.
The current dispute between the parties relates to a parking lot that is now owned by the Huntington Municipal Development Authority and leased to the Huntington Municipal Parking Board.
Throughout the years Red Lobster has engaged in communications with the parking board and the development authority regarding the state of the parking lot and issues where restaurant guests were towed from the parking lot while in the restaurant.
"Petitioners argued that complaints regarding the limited availability of parking and reports of petitioners’ restaurant patrons being towed from the lot has resulted in decreased patronage and overall damages to Petitioner Red Lobster’s reputation," the decision states.
In its 2021 order, the Cabell Circuit Court partially denied summary judgment in that it did not hold the agreement invalid but that while the agreement was enforceable, it did not discuss the parking lot directly.
"The circuit court found, and we concur, that there was 'no context in the [agreement] that could provide direction as to a determination of a reasonable application of the term,'" the decision states. "Given these opposing positions, the circuit court found that it 'must determine' that 'public parking' is ambiguous in the context of the agreement. We agree and we find no error."
West Virginia Supreme Court of Appeals case number: 21-0288