Iron Duke Brewing has its first win in court

June 20, 2017 | Chris Maza
chrism@thereminder.com

Iron Duke Brewing Company operates out of Stockhouse 122 in the Ludlow Mills, which is owned by WestMass Area Development Corporation.
Reminder Publications file photo

SPRINGFIELD -- Iron Duke Brewing Company scored its first legal victory in its dispute with WestMass Area Development Corporation on June 20 when a Superior Court judge granted the brewers' request for a preliminary injunction.

Judge Edward McDonough Jr. officially prohibited WestMass from preventing Iron Duke from having food trucks on site, hosting live music and otherwise hindering the establishment from conducting business as it had since its opening in November 2016. The injunction is in place until the matter is settled either at trial or by other means.

After several postponements, Iron Duke and WestMass had their hearing on the brewery's request for an injunction on June 14. The brewery first filed its request with the court in January.

Iron Duke Master Brewer Nick Morin had no comment other to say he looked forward to "moving in a positive direction" and the company had "big plans for the future."

Representatives of WestMass, including CEO Eric Nelson and Attorney A. Craig Brown, did not immediately respond to a request for comment.

Iron Duke is fighting a possible eviction from its location at Stockhouse 122 in the Ludlow Mills over a difference of opinion with WestMass regarding what constitutes acceptable use of the space according to the lease agreed upon by the two entities in December 2013.

The lease allows operations for “microbrewery business purposes” and Iron Duke contended in court that running a “taproom” includes providing additional services such as live music, food trucks and other events. Iron Duke has also played host to other events such as yoga classes in the brewery.

WestMass, however, has a different interpretation – one that defines the allowed use for the space as a “tasting room” and other uses such as food trucks and live entertainment are in violation the lease. WestMass also raised public safety concerns surrounding traffic and contended Iron Duke "has increased the risk of excessive consumption of alcohol," which has impacted other customers, visitors and businesses at the Ludlow Mills, according to the court document.

McDonough stated in his finding that the phrase "solely for microbrewery business purposes" as found in the lease is "ambiguous," starting with the fact the word "purposes" was plural.

"That word alone is arguably inconsistent with WestMass's contention that the phrase 'solely for microbrewery purposes' necessarily 'includes' only beer production, sale and consumption," McDonough wrote. "If WestMass's intent was otherwise, it could have easily excluded the food and live music when it drafted the lease."

McDonough also said it was more than likely a trial would result in a finding that Iron Duke's argument that live music and food trucks are acceptable uses within the parameters of the lease. Specifically, he said the phrase 'solely for microbrewery purposes' is "consistent with 'common sense and the probable intention of the parties,'" citing case law from Stop & Shop Inc. v. Ganem, supra.

"In determining what the parties intended, as the case law makes clear, there is no better measure than what the parties did after they signed the lease," McDonough wrote. "After the lease was signed, it appears clear that Iron Duke acted in a way consistent with what it now claims was both parties' intent -- to provide Iron Duke's paying customers with beer, food and live entertainment."

He continued, "For roughly two years, WestMass acquiesced in these uses. On the record before me, I find there is a reasonable if not strong likelihood that a jury would conclude that both parties to the lease considered selling food and providing live music to be within the definition of 'microbrewery business purposes.'"

The judge also noted that WestMass conceded that none of the safety concerns have resulted in any incidents, that there have been no complaints and Iron Duke has received all proper permits and licenses from the town of Ludlow and has abided by them, the court also noted. McDonough also pointed to a letter of support from Town Planner Douglas Stefancik and a letter from the Planning Board to WestMass that he said "is clearly in support of Iron Duke."

McDonough also concluded, "Iron Duke has shown that its likely harm, without the injunction, outweighs the speculative harm WestMass claims may or may not occur from being enjoined."

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