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Shoreline Communications, Inc. v. Norwich Taxi, LLC

Appellate Court of Connecticut
797 A.2d 1165 (2002)


Shoreline Communications, Inc. (Shoreline) (plaintiff) owned a radio tower. Shoreline entered into a five-year license agreement with Eagle Cab Corporation (Eagle) that allowed Eagle, in exchange for monthly payments, to install Eagle’s radio equipment on Shoreline’s radio tower for use in the promotion of Eagle’s taxi business. Eagle assigned the license agreement to Norwich Taxi, LLC (Norwich), whose service area was wider and located farther from the radio tower. Norwich did not inspect the radio tower before assuming Eagle’s rights and duties under the license agreement. After the assignment, Norwich was unable to install its own equipment on the radio tower and was therefore unable to make profitable use of the space on the radio tower. Norwich informed Shoreline that the contract was terminated and stopped making payments. Shoreline sued Norwich to recover the unpaid license fees. The trial court found that Norwich had made a unilateral mistake and had assumed the risk of that unilateral mistake by failing to inspect the radio tower before the assignment. The trial court entered judgment in favor of Shoreline. Norwich appealed.

Rule of Law


Holding and Reasoning (Peters, J.)

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