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Contracts Keyed to Whaley
Shaw v. Mobil Oil Corp.
Citation:
Oregon Supreme Court, 1975. 272 Or. 109, 535 P.2d 756.Facts
Shaw (Plaintiff) entered into a service station lease and a retail dealer contract with Mobil Oil Corp. (Defendant). The contract stated that defendant must provide the amount of gasoline requested by plaintiff up to 500,000 gallons per year. Additionally, plaintiff was to pay rent at a rate of 1.4 cents per gallon with a minimum rental of $470 a month. Defendant also included a provision in the contract which provided that defendant would be excused from performance because of compliance with the request of a governmental agency. In 1973, plaintiff ordered 34,000 gallons of gasoline. However, at the same time, the Federal Energy office requested that defendant allocate defendant’s existing gasoline supply among all of defendant’s dealers. Defendant was only able to deliver 25,678 gallons to plaintiff.
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