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Audio Visual Artistry v. Tanzer

Tennessee Court of Appeals
403 S.W.3d 789 (2012)


Facts

Stephen Tanzer (defendant) hired Audio Visual Artistry (AVA) (plaintiff) to install a custom “smart home” audio-visual system. The original “Systems Sale and Installation Contract” involved some $60,000 worth of equipment, installed for about $10,000. The scope changed during the project, upping the total to about $120,000. Fifteen months later, AVA was still debugging the system when lightning struck, damaging components. Tanzer fired AVA, and AVA sued to collect amounts due. Lightning struck again, shutting down the entire system. Tanzer hired another company that charged about $70,000 and counterclaimed to recover from AVA. Tanzer also brought claims under the Tennessee Consumer Protection Act (TCPA) and wanted AVA to pick up defective equipment. The trial court applied the Uniform Commercial Code (UCC) and dismissed Tanzer’s TCPA claims but found that Tanzer properly rejected the main components under the UCC, entitling him to an offset. However, the court found the repair bill unreasonable, because Tanzer added upgrades not billed separately, and found AVA not responsible for damages caused by the second lightning strike. After offsets, the court awarded Tanzer about $25,000. Tanzer appealed, asserting that the TCPA applied.

Rule of Law

Issue

Holding and Reasoning (Stafford, J.)

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