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Contracts Keyed to Dawson
Hadden v. Consolidated Edison Co. of New York, Inc.
Citation:
34 N.Y.2d 88,356 N.Y.S.2d 249Facts
The plaintiff, Hadden, owned and operated a restaurant in New York City that was serviced by the defendant, Consolidated Edison. The restaurant experienced several power outages that Hadden claimed were caused by Con Ed’s gross negligence in maintaining its equipment and responding to service calls. These outages resulted in substantial business losses for the restaurant, including spoiled food and lost revenue. Con Ed’s service agreement included a tariff provision approved by the Public Service Commission that limited the utility’s liability for service interruptions. Con Ed argued this provision shielded it from liability even in cases of gross negligence, while Hadden contended such a limitation was unenforceable as against public policy.
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