PIONEER RESOURCES, LLC, an Oregon limited liability company; and FRONTIER RESOURCES, LLC, an Oregon limited liability company, Respondents, v. D. R. JOHNSON LUMBER COMPANY, an Oregon corporation; and RUDIO MTN. LIMITED PARTNERSHIP, an Oregon limited partnership, Appellants, and UNITED STATES NATIONAL BANK OF OREGON, Defendant., 187 Ore. App. 341

Summary

Defendant argued that the parties' mutual release agreement barred plaintiff's claims. Alternatively, it argued that plaintiff failed to prove the elements of reformation. According to defendant, there was no "unilateral mistake" made by plaintiff, any "mistake" was not the result of "inequitable conduct" by defendant, and plaintiff failed to prove that it was not "grossly negligent" with respect to its review and execution of an amended sales agreement and related documentation. The instant court concluded that the mutual release did not bar plaintiff's reformation claim. A term sheet's property description was a legally cognizable antecedent agreement. Plaintiff's failure to review certain documents pertaining to the underlying transactions was not grossly negligent. Defendant engaged in inequitable conduct that perpetuated, and sought to take advantage of, plaintiff's unilateral mistake. Most egregiously, defendant's agent engaged in last-minute manipulations of the language of the ...