Fursmidt v. Hotel Abbey Holding Corp.
Supreme Court of New York
10 A.D.2d 447 (N.Y. Sup. Ct. 1960)
Fursmidt and his father (plaintiff) ran a valet and laundry concession inside a hotel operated by Hotel Abbey Holding Corp. (defendant) under a contract letting the hotel control Fursmidt's prices and hours and requiring the services to be to Hotel Abbey's satisfaction. Hotel Abbey terminated the arrangement after several months, citing dissatisfaction with Fursmidt's services; Fursmidt sued, arguing the hotel had no right to terminate, and the trial court instructed the jury to find for Fursmidt if it concluded Hotel Abbey's dissatisfaction was objectively unreasonable, resulting in a verdict for Fursmidt.
Whether an objective standard of reasonableness is proper for evaluating a contractual satisfaction clause where the contract calls for services rendered to the satisfaction of a party's fancy, taste, sensibility, or judgment.