Bone Safety Signs, LLC (Bone) brought a motion for summary judgment against Work Zone Safety Products Inc. (Work Zone) for unpaid invoices totaling $47,301.92 USD for temporary traffic control products.
Work Zone attempted to rely on a credit note issued by Bone, claiming defenses of estoppel, promissory estoppel, and equitable set-off, and alleging product defects and a duty to mitigate damages.
The court found that Work Zone did not act in accordance with the agreed-upon terms of the credit note, having unilaterally attempted to return goods "collect" and claim additional costs.
The court dismissed Work Zone's defenses, finding no genuine issue for trial regarding the unpaid invoices.
The court also found Work Zone's counterclaim for breach of contract and losses due to product defects to be weak, lacking corroborative evidence and inconsistent with prior statements.
Summary judgment was granted in favor of Bone for the unpaid amount plus interest, and costs were fixed at $19,192, with an order for the return of security for costs to Bone.