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Business Organizations Keyed to Bauman
Gay Jenson Farms Co. v. Cargill, Inc.
Citation:
309 N.W.2d 285 (Min.. 1981)Facts
Warren operated a grain elevator, and contracted with several local farmers for the purchase and resale of grain. In order to finance operations, Warren contracted with Cargill. The initial security agreement included the use of both Warren and Cargill’s names. The original agreement was later amended to give Cargill even further control, including authority to review annual financial statements, access to books, and Cargill’s required approval to engage in certain transactions. The relationship would deepen, until Warren went bankrupt. Farmers who had sold grain to Warren filed suit against Cargill for the recovery of $2 million.
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