Blockbuster Textiles, LLC, a linen supply company, brought suit against OVIP Inc., d/b/a Vinings Inn seeking to recover on an open account and for damages for breach of the parties’ contract. OVIP subsequently filed a motion for summary judgment, contending that it had paid the account in full, that it did not breach the contract, and that even if it did breach the contract, the amount of liquidated damages was incorrectly calculated. Blockbuster responded and moved to strike OVIP’s motion on the basis that it did not comply with Superior Court Rule 6.5; Blockbuster also filed a cross motion for summary judgment. After a hearing, the trial court granted Blockbuster’s motion for summary judgment and awarded it $11, 611.64 on its open account claim and $13,025.80 on its claim for liquidated damages. OVIP appeals. As is relevant here, the contract provided that OVIP would use Blockbuster as its exclusive supplier of restaurant linens for a period of 24 months beginning September 1, 2004. The contract further provided for liquidated damages if OVIP terminated the contract prior to the expiration date for any reason other than documented service complaints to Blockbuster that were not resolved within 30 days. In addition to the payment of all unpaid charges on the account prior to termination, the liquidated damages provision provided that OVIP must pay the greater of 1 the average weekly invoice total multiplied by the number of weeks remaining in the unexpired term of the contract, or 2 the current replacement cost of all linens and other products allocated to OVIP.
In support of its motion for summary judgment, Blockbuster submitted the affidavit of its Chief Financial Officer, Greg Hood. In his affidavit, Hood averred that beginning April 1, 2005 and through October 17, 2005, OVIP refused to pay the agreed upon rental rate for the restaurant linens as provided in the contract. According to the Hood affidavit, the unpaid invoice amount for the period totaled $11,611.64. His affidavit further provided that OVIP refused to accept further deliveries of linens from Blockbuster after October 17, 2005. As of that date, 45 weeks remained in the contract and Hood averred that the average weekly invoice total was $723.66. Thus, Hood calculated the liquidated damages owed by OVIP under the contract as follows: “The average weekly invoice of $723.66 multiplied by 40 multiplied by 45 weeks equals $289.46 per week or $13,025.80 in total.” OVIP responded to Blockbuster’s motion by challenging the amount of payments Blockbuster credited to its account and further contending that it was not in breach of the contract. OVIP also contended that even if it breached the contract, the amount of liquidated damages calculated by Blockbuster was erroneous because the average of the invoice total was improperly calculated by Blockbuster. OVIP makes these contentions in this appeal as well, and additionally challenges the enforceability of the liquidated damages provision of the contract.1
