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Nekoma Farms, LLC v. Bio-Sunn Technologies, Inc.

2023 WL 9062874 (2023)

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Nekoma Farms, LLC v. Bio-Sunn Technologies, Inc.

United States District Court for the District of North Dakota
2023 WL 9062874 (2023)

Facts

Nekoma Farms, LLC (Nekoma) (plaintiff) and Bio-Sunn Technologies, Inc. (Bio-Sunn) (defendant) entered a contract for deed under which Bio-Sunn agreed to buy a parcel of land in North Dakota from Nekoma. The contract stipulated that $10,000 was due at signing, $800,000 in November 2017, and $790,000 in January 2018. However, over the next few years, Bio-Sunn made constant requests for due-date extensions, which Nekoma granted. Bio-Sunn also assured Nekoma on numerous occasions that Bio-Sunn was on the verge of securing the necessary funding, but the funds never became available. During this time, Bio-Sunn was in physical possession of the land and undertook maintenance and improvements. In 2023, Nekoma filed a complaint for cancellation of the contract, arguing that Bio-Sunn had abandoned the contract. Bio-Sunn countered that its physical maintenance of the land showed a lack of abandonment, thus entitling it to a redemption period. Nekoma moved for summary judgment. The federal district court, which had diversity-of-citizenship jurisdiction, applied the substantive law of North Dakota.

Rule of Law

Issue

Holding and Reasoning (Senechal, J.)

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