By Yasser Latif Hamdani
Principle: A party to a contract breaches the implied covenant of good faith and fair dealing by interfering with or failing to cooperate with the plaintiff in the performance of the contract.
Case: Solfanelli v. Corestates Bank, MA, 203 F. 3d 197
Court: United States Court of Appeals, Third Circuit
Overview: The District Court concluded that Bank’s eleven month delay in selling the stock was commercially unreasonable. This was affirmed by the aforesaid court. It must be noted that in this case the debtor did not even request but rather withheld consent and yet the court ordered that the Bank’s delay was unreasonable.
Facts: The facts as far as they are relevant to our case here are that the plaintiff kept shares at collateral for debt. Unlike our case, the Bank sought the plaintiff’s consent to sell shares which was withheld. Yet the court ruled that the bank’s duty to conduct commercially reasonable sale was not waivable.
