The plaintiff manufacturer sued the defendant metal processing company for the unpaid balance and extras on a contract for a custom Tension Leveling & Cut-To-Length Line.
The defendant counterclaimed for lost profits, alleging the machine failed to produce flat, memory-free sheets and could not process heavy gauge coils.
The court found that the defendant breached the contract by prematurely terminating the final acceptance testing, which was a condition precedent, thereby denying the plaintiff the opportunity to remedy any defects.
The plaintiff was awarded the contract balance and partial payment for extras, and the counterclaim was dismissed.
