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Contracts Keyed to Fuller
Macke Co. v. Pizza of Gaithersburg, Inc.
Citation:
259 Md. 479, 270 A.2d 645 (1970)Facts
The Pizza Shops operated at six locations in Montgomery and Prince George’s Counties. In December 1966, they formalized arrangements with Virginia Coffee Service to have cold drink vending machines installed at five locations, with a sixth contract signed in July 1967. The contracts were for one-year terms, automatically renewable unless 30 days’ written notice was given. On December 30, 1967, Virginia’s assets were purchased by Macke, and the six contracts were assigned to Macke. In January 1968, the Pizza Shops attempted to terminate the five contracts with December anniversary dates, and in February, they attempted to terminate the July contract. The agreements required Virginia to install and maintain the equipment in good operating order and stocked with merchandise, with the Pizza Shops receiving a percentage commission on monthly sales. The Pizza Shops claimed they had chosen Virginia over Macke because of Virginia’s personalized service, cash commission payments, and willingness to allow the shops to keep keys to the machines.
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