Legal Case

American Multi-Cinema v. National CineMedia

Court

Fifth Circuit Court of Appeals

Decided

June 10, 2025

Jurisdiction

F

Importance

48%

Significant

Practice Areas

Bankruptcy Law
Contract Law

Case Summary

Case: 24-20386 Document: 102-1 Page: 1 Date Filed: 06/10/2025 United States Court of Appeals for the Fifth Circuit United States Court of Appeals Fifth Circuit ____________ FILED June 10, 2025 No. 24-20386 Lyle W. Cayce ____________ Clerk In the Matter of National CineMedia, L.L.C. Debtor, Cinemark Media Incorporated; Cinemark USA, Incorporated, Appellants, versus National CineMedia, L.L.C., Appellee, __________________________________________________ In the Matter of National CineMedia, L.L.C. Debtor, Cinemark USA, Incorporated, Appellant, versus National CineMedia, L.L.C., Case: 24-20386 Document: 102-1 Page: 2 Date Filed: 06/10/2025 Appellee. ______________________________ Appeal from the United States District Court for the Southern District of Texas USDC Nos. 4:23-CV-2414, 4:23-CV-2485 ______________________________ Before Jones, Southwick, and Oldham, Circuit Judges. Per Curiam: * This court has carefully considered this appeal in light of the briefs, oral argument, and pertinent portions of the record. Having done so, we substantially adopt the analysis of the district court’s opinion, which affirmed the bankruptcy court’s rulings. 1 Accordingly, the Most Favored Nations (“MFN”) clause in Cinemark’s Exhibitor Services Agreements (“ESA”) with the debtor National CineMedia LLC (“NCM”) was not triggered by Regal’s entry into a Network Affiliate Transaction Agreement (“NATA”) with NCM. The MFN clause in Cinemark’s ESA provided it the right to match the terms of an “agreement, amendment or extension” between Regal and NCM “which amends any term” of Regal’s ESA. Regal, while itself a debtor in bankruptcy, terminated its ESA with NCM through a Termination Settlement Agreement (“TSA”). Regal then entered into the NATA with NCM. The TSA did not amend any term of Regal’s ESA because it _____________________ * Pursuant to 5th Circuit Rule 47.5, the court has determined that this opinion should not be published and is not precedent except under the limited circumstances set forth in 5th Circuit Rule 47.5.4. 1 This court reviews the NCM bankruptcy court’s “Settlement Order” under Bankruptcy Rule 9019 for abuse of discretion. In re Moore, 608 F.3d 253, 257 (5th Cir. 2010). No abuse occurs unless the court made an error of law or clear error of fact. In re Yorkshire, LLC, 540 F.3d 328, 331 (5th Cir. 2008). Case: 24-20386 Document: 102-1 Page: 3 Date Filed: 06/10/2025 terminated the ESA, whereas “amend” contemplates modification of an ESA’s term that nevertheless preserves the agreement’s existence. The NATA did not amend any term of Regal’s ESA because the TSA had terminated Regal’s ESA, and the ESA must exist for the NATA to amend any of its terms. The MFN clause in Cinemark’s ESA was not triggered. 2 The judgments of the bankruptcy and district courts are AFFIRMED. _____________________ 2 NCM and AMC, the other party to the appeal, agreed to dismiss the appeal as to AMC by a joint motion for dismissal.

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Case Details

Case Details

Legal case information

Status

Decided

Date Decided

June 10, 2025

Jurisdiction

F

Court Type

appellate

Legal Significance

Case importance metrics

Importance Score
Significant
Score48%
Citations
0
Legal Topics
Most Favored Nations Clause
Exhibitor Services Agreements
Contract Termination and Amendment

Metadata

Additional information

AddedJun 11, 2025
UpdatedJun 11, 2025

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Case Summary

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Legal Topics

Areas of law covered in this case

Most Favored Nations Clause
Exhibitor Services Agreements
Contract Termination and Amendment

Case Information

Detailed case metadata and classifications

Court Proceedings

Date FiledJune 10, 2025
Date DecidedJune 10, 2025

Document Details

Times Cited
0
Importance Score
0.5

Legal Classification

JurisdictionF
Court Type
appellate

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Jason Counts v. General Motors, LLC

80% match
Court of Appeals for the Sixth Circuit
Jun 2025

RECOMMENDED FOR PUBLICATION Pursuant to Sixth Circuit I.O.P. 32.1(b) File Name: 25a0150p.06 UNITED STATES COURT OF APPEALS FOR THE SIXTH CIRCUIT ┐ JASON COUNTS; DONALD KLEIN; OSCAR ZAMORA; │ JASON SILVEUS; JOHN MISKELLY; THOMAS HAYDUK; │ JOSHUA RODRIGUEZ; BASSAM HIRMIZ; CHRISTOPHER │ HEMBERGER; DEREK LONG, individually and on behalf > No. 24-1139 of themselves and all others similarly situated, │ Plaintiffs-Appellants, │ │ │ v. │ │ GENERAL MOTORS, LLC; ROBERT BOSCH LLC, │ Defendants-Appellees. │ ┘ Appeal from the United States District Court for the Eastern District of Michigan at Bay City. No. 1:16-cv-12541—Thomas L. Ludington, District Judge. Argued: March 18, 2025 Decided and Filed: June 6, 2025 Before: GRIFFIN, KETHLEDGE, and BUSH, Circuit Judges. _________________ COUNSEL ARGUED: Garth Wojtanowicz, HAGENS BERMAN SOBOL SHAPIRO, LLP, Seattle, Washington, for Appellants. Jay P. Lefkowitz, KIRKLAND & ELLIS LLP, New York, New York, for Appellee General Motors. Patrick Swiber, CLEARY, GOTTLIEB, STEEN & HAMILTON, LLP, New York, New York, for Appellee Robert Bosch LLC. ON BRIEF: Garth Wojtanowicz, Steve W. Berman, HAGENS BERMAN SOBOL SHAPIRO, LLP, Seattle, Washington, Christopher A. Seeger, SEEGER WEISS LLP, Ridgefield Park, New Jersey, Shauna B. Itri, SEEGER WEISS LLP, Philadelphia, Pennsylvania, James E. Cecchi, James A. O’Brien III, CARELLA, BRYNE, CECCHI, OLSTEIN, BRODY & AGNELLO, P.C., Roseland, New Jersey, for Appellants. Jay P. Lefkowitz, KIRKLAND & ELLIS LLP, New York, New York, Renee D. Smith, Jeffrey S. Bramson, Cole T. Carter, KIRKLAND & ELLIS LLP, Chicago, Illinois, for Appellee General Motors. Abena A. Mainoo, Carmine D. Boccuzzi Jr., CLEARY, GOTTLIEB, STEEN & HAMILTON, LLP, New York, New York, Matthew D. No. 24-1139 Counts, et al. v. General Motors, LLC, et al. Page 2 Slater, CLEARY GOTTLIEB STEEN & HAMILTON LLP, Washington, D.C., William R. Jansen, Jonathan E. Lauderbach, WARNER NORCROSS & JUDD LLP, Detroit, Michigan, for Appellee Robert Bosch LLC. Jonathan S. Martel, ARNOLD & PORTER KAYE SCHOLER LLP, San Francisco, California, for Amici Curiae. _________________ OPINION _________________ KETHLEDGE, Circuit Judge. The plaintiffs appeal the district court’s judgment in favor of the defendants as to their claims that GM and Bosch misled consumers regarding the emissions generated by certain Chevrolet Cruze vehicles. We affirm in part, vacate in part, and remand for further proceedings consistent with this opinion. I. A. New motor vehicles generally cannot be sold in the United States without a “certificate of conformity,” which is the EPA’s certification that a vehicle complies with all federal emissions standards. See 42 U.S.C. §§ 7522(a)(1), 7525(a); 40 C.F.R. § 86.1854-12(a)(1). As part of the certification process, manufacturers must disclose whether a vehicle has any “auxiliary emission control devices” (AECDs), which for various reasons can increase vehicle emissions under certain operating circumstances. See 42 U.S.C. § 7525; 40 C.F.R. §§ 86.127-12, 86.1844- 01(d)(11). AECDs use software to sense conditions like temperature, speed, or engine RPMs “for the purpose of activating, modulating, delaying, or deactivating the operation of any part of the emission control system.” 40 C.F.R. § 86.082-2. A manufacturer’s disclosures must provide “a detailed justification of each AECD that results in a reduction in the effectiveness of the emission control system, and rationale for why it is not a defeat device.” 40 C.F.R. § 86.1844- 01(d)(11). A “defeat device,” in turn, is an AECD that unjustifiably “reduces the effectiveness of the emission control system under conditions which may reasonably be expect

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