Penthouse International, Limited v. Dominion Federal Savings and Loan Association

855 F.2d 963 (1988)

From our private database of 46,200+ case briefs, written and edited by humans—never with AI.

Penthouse International, Limited v. Dominion Federal Savings and Loan Association

United States Court of Appeals for the Second Circuit
855 F.2d 963 (1988)

Facts

Dominion Federal Savings and Loan Association (Dominion) (defendant) was one of several lenders that agreed to finance a hotel and casino being built by Penthouse International, Limited (Penthouse) (plaintiff) in Atlantic City, New Jersey. The loan commitment for all lenders was to expire on March 1, 1984. Penthouse was unable to meet various preclosing conditions (e.g., licensing from the casino-control commission, variances necessary for construction, public utility services). These preconditions remained outstanding a few weeks before the March 1 expiration date. Dominion expressed concerns about the ability to close and suggested that the construction-and-lending plan be overhauled. By mid-March 1984, the project had collapsed, and the lenders withdrew from the plan. Penthouse sued Dominion for damages, claiming that Dominion committed anticipatory breach of the agreement to participate in funding. Focusing on actions taken after the expiration date of March 1, 1984, the district court ruled that Dominion refused to proceed as agreed and, hence, committed an anticipatory breach. Dominion appealed, claiming that the district court erred by basing the decision on actions Dominion took after the loan-commitment expiration date.

Rule of Law

Issue

Holding and Reasoning (Altimari, J.)

What to do next…

  1. Unlock this case brief with a free (no-commitment) trial membership of Quimbee.

    You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 797,000 law students since 2011. Some law schools—such as Yale, Berkeley, and Northwestern—even subscribe directly to Quimbee for all their law students.

    Unlock this case briefRead our student testimonials
  2. Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.

    Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students.

    Learn about our approachRead more about Quimbee

Here's why 797,000 law students have relied on our case briefs:

  • Written by law professors and practitioners, not other law students. 46,200 briefs, keyed to 988 casebooks. Top-notch customer support.
  • The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
  • Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
  • Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.

Access this case brief for FREE

With a 7-day free trial membership
Here's why 797,000 law students have relied on our case briefs:
  • Reliable - written by law professors and practitioners, not other law students
  • The right length and amount of information - includes the facts, issue, rule of law, holding and reasoning, and any concurrences and dissents
  • Access in your class - works on your mobile and tablet
  • 46,200 briefs - keyed to 988 casebooks
  • Uniform format for every case brief
  • Written in plain English - not in legalese and not just repeating the court's language
  • Massive library of related video lessons - and practice questions
  • Top-notch customer support

Access this case brief for FREE

With a 7-day free trial membership