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Brown Machine, Inc. v. Hercules, Inc.

Missouri Court of Appeals
770 S.W.2d 416 (1989)


Facts

Hercules, Inc. (Hercules) (defendant) requested a price quote from Brown Machine, Inc. (Brown) (plaintiff) for a piece of equipment. Brown sent the quote, which included a cover page stating that Brown wished to further discuss the quote and that the quote was being submitted for “approval.” Also attached to the quote were several paragraphs, including one providing that the quotation was not an offer that could be accepted. In response to the proposal, Hercules submitted a purchase order. The purchase order provided that acceptance of the order expressly limited the terms of the contract to the terms of the purchase order. The purchase order did not contain an indemnity provision. In response to the purchase order, Brown sent Hercules an order acknowledgment, which contained an indemnity provision. The equipment was shipped to Hercules and the agreed-upon purchase price was paid. Sometime later, an employee of Hercules was injured by the equipment and sued Brown. Brown insisted that Hercules honor the indemnity provision, but Hercules refused. Brown filed suit against Hercules seeking the settlement amount it had paid to the injured employee. The trial court found in favor of Brown for indemnification and awarded damages. Hercules appealed to the Missouri Court of Appeals.

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Holding and Reasoning (Stephan, J.)

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  • A “yes” or “no” answer to the question framed in the issue section;
  • A summary of the majority or plurality opinion, using the CREAC method; and
  • The procedural disposition (e.g. reversed and remanded, affirmed, etc.).

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