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Contracts Keyed to Calamari
Zemco Manufacturing, Inc. v. Navistar International Transportation Corp.
Citation:
186 F.3d 815Facts
Zemco Manufacturing (hereinafter “Zemco”) (plaintiff) manufactured and supplied machined parts to Navistar International Transportation (hereinafter “Navistar”) (defendant) pursuant to a sales contract that was renewable on a yearly basis. The original contract was renewed through written agreements until 1987. After 1987, the parties renewed the contract through oral agreements. The two companies eventually fell into disagreement. Navistar later began to buy parts from another company and phased out its purchase of parts from Zemco, who sued for breach of contract. Navistar contended that the oral contract renewals were unenforceable because the renewals violated the statute of frauds.
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