Property — landlord-tenant — privity

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Wisconsin Supreme Court

Civil

Property — landlord-tenant — privity

A subtenant cannot be liable for breach of contract to a landlord.

“[W]e conclude that Quad/Graphics is not liable to Gagliano because Quad/Graphics was a subtenant of the lessee, not an assignee of the leases. Undisputed evidence shows that New Electronic Printing Systems, the assignee of the original tenants, did not transfer its entire remaining leasehold estate to Quad/Graphics. Because Gagliano and Quad/Graphics did not share privity of estate, it is not an assignee. Therefore, we do not hold Quad/Graphics liable for New Electronic Printing Systems’ alleged breach of contract to which Quad/Graphics was not a party. Accordingly, we reverse the portion of the decision of the court of appeals that reversed the order of the circuit court granting summary judgment in favor of Quad/Graphics and remand to the circuit court for dismissal of all claims against Quad/Graphics.”

Affirmed in part, and Reversed in part.

2012AP122 Anthony Gagliano & Co. Inc. v. Openfirst LLC

Roggensack, J.

Attorneys: For Appellant: Armstrong, Thomas, Milwaukee; Kushner, Beth, Milwaukee; For Respondent: Apfeld, Michael B., Milwaukee; Huitink, Michael D., Milwaukee; Maher, Ann M., Milwaukee; Lawless, Lisa M., Milwaukee