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HealthBanc v. Synergy, 2018 UT 61 (Dec. 21, 2018)

Dec 21, 2018

This case arose from a dispute over a royalty agreement between a company that sold a health supplement and a buyer who asserted that the seller did not own the rights to the product as represented in the contract between them.  On certification from the federal district court, the court held that the economic loss rule barred the plaintiff’s fraudulent inducement claims, which were duplicative of its breach of contract claim.  However, the court did not resolve the broader question of whether there may ever be a fraudulent inducement claim that would not be barred by the economic loss rule.