In June, plaintiff Multiplastics, Inc., contracted with defendant Arch Industries, Inc., to make and to ship 40,000

Question:

In June, plaintiff Multiplastics, Inc., contracted with defendant Arch Industries, Inc., to make and to ship 40,000 pounds of plastic pellets, which were to be delivered at the rate of 1,000 pounds a day after Arch gave “release instructions.” Multiplastics produced the pellets within two weeks. Arch refused to give the release orders, citing labor difficulties and its vacation schedule. On August 18, Multiplastics wrote, “We have warehoused these products for more than 40 days . . . however we cannot warehouse . . . indefinitely, and request that you send us shipping instructions.” Multiplastics followed this with numerous telephone calls seeking payment and delivery instructions. In response, on August 20, Arch agreed to issue the release orders but never did. On September 22, the Multiplastics factory, including the 40,000 pounds of this order, was destroyed by fire. The pellets were not covered by Multiplastics’ fire insurance policy. Therefore Multiplastics sued Arch for breach of contract and also claimed that the risk of loss had passed to the buyer. You decide. (Multiplastics, Inc. v. Arch Industries, Inc., 348 A.2d 618, Conn.)

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question
Question Posted: