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Doering Equipment Co. v. John Deere Co.

Massachusetts Appeals Court
815 N.E.2d 234 (2004)


Facts

Doering Equipment Co. (Doering) (plaintiff) agreed to act as distributor for golf and turf products from John Deere Co. (Deere) (defendant). Doering lost money every year on its performance of the contract. Deere allegedly told Doering that it needed to purchase additional golf and turf products and add a salesperson for those products, and that these requirements were non-negotiable. Doering notified Deere that it was terminating the agreement. Doering sued Deere for a breach of the covenant of good faith and fair dealing, and sought $500,000 in damages for its operating losses under the contract during the previous three years. The trial court found in Deere’s favor, holding that there was no causal connection between Doering’s damage claims and the additional demands Deere made on Doering. Doering appealed.

Rule of Law

Issue

Holding and Reasoning (Kafker, J.)

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