Management Capital, L.L.C. v. F.A.F., Inc.

Chief Justice Suttell, for the Court.

This case arises from the milieu of the financial world where arcane terms such as "stock warrant," "put," and "call" are commonplace but nevertheless remain alien to the uninitiated. The resolution of this appeal, however, requires us to resort to concepts distilled from principles taught in a first-year contracts class: reformation, ambiguity, and anticipatory repudiation. The plaintiff, Management Capital, L.L.C. (Management), initiated this litigation after the defendant, F.A.F., Inc. (FAF), maintained that a common stock warrant held by Management had…