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Contracts Keyed to Ayres
Sally Beauty Co. v. Nexxus Products Co., Inc.
Citation:
801 F.2d 1001.Facts
Defendant entered into a contract with Best Barber & Beauty Supply Co. (“Best”) under which Best would be the exclusive distributor of the defendant’s products throughout Texas. When Best was acquired by the plaintiff, the defendant cancelled the agreement. The plaintiff is a subsidiary of a manufacturer of hair care products and direct competitor of the defendant. Plaintiff claims that the defendant breached the contract by cancelling the contract. The defendant states that the contract was not assignable, or assignable to the plaintiff.
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