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Contracts Keyed to Barnett
Empro Manufacturing v. Ball-Co Manufacturing, Inc.
Citation:
870 F.2d 423 (7th Cir. 1989)Facts
Empro was interested in specialty valve components that Ball-Co manufactured. After preliminary negotiations, the two signed a letter of intent to purchase Ball-Co’s assets for $2.4 million. The letter stated that more definitive terms would be incorporated into a formal Asset Purchase Agreement to be signed by both parties and that multiple conditions precedent would be required in order for the deal to actually go through.
After negotiations got heated, Empro discovered that Ball-Co was talking to another party and sued on the basis of the letter of intent.
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