Medicability, LLC v. Blue Hill Buffalo Consulting, LLC
After Medicability's first suit in its own name was dismissed for lack of standing (it was not a party to the contract), it filed a second suit as assignee of the contracting party. The Second District held res judicata did not bar the second suit because the fourth identity involving the quality or capacity of the party suing was absent: the first suit sought Medicability's own damages, while the second was brought in its capacity as assignee of Strategic Solutions. The dismissal with prejudice was reversed and remanded.
Key facts
- Medicability, LLC filed an initial suit against Blue Hill Buffalo Consulting, LLC seeking its own damages, but the suit was dismissed for lack of standing because Medicability was not a party to the underlying contract.
- Medicability then filed a second suit against the same defendant, this time as assignee of Strategic Solutions, the actual contracting party, seeking the same damages.
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Why it matters
The opinion gives litigators a clear framework for defeating res judicata where the same plaintiff sues in a different legal capacity especially after an initial dismissal for lack of standing followed by an assignment… — full analysis with a trial
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