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Cherwell-Ralli, Inc. v. Rytman Grain Co.

Supreme Court of Connecticut
433 A.2d 984 (Conn. 1980)

Facts

Rytman Grain Co., Inc. (Rytman) (defendant) agreed to purchase meal from Cherwell-Ralli, Inc. (CRI) (plaintiff) in an installment contract. Rytman was consistently late in its payments, but had concerns about whether CRI would be able to continue delivering meal per the contract. The president of CRI assured Rytman that it would continue delivery. As a result of this assurance, Rytman wrote a check for the balance it owed, but eight days later stopped payment on the check when it heard further, albeit unsubstantiated, rumors that CRI would not continue deliveries. At this point, on account of the money Rytman owed, CRI stopped making deliveries to Rytman and brought suit to recover the money. Rytman counterclaimed for CRI’s failure to deliver additional meal. The trial court found that Rytman’s failure to pay constituted a breach of the entire contract and entered judgment in favor of CRI. Rytman appealed.

Rule of Law

Issue

Holding and Reasoning (Peters, J.)

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