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Farm Equipment Store v. White Farm Equipment Co.
Indiana Court of Appeals
596 N.E.2d 274 (1992)
The 1986 contract between Allied Products Corporation (Allied) and its dealer, Farm Equipment Store, Inc. (Farm Equipment), stated that the contract could be modified only in writing. The contract included an annual-returns clause that credited Farm Equipment for any Allied-made repair parts that the dealer returned to Allied each year. The contract also included a termination-repurchase clause stating that if Allied ever terminated Farm Equipment’s dealership, Farm Equipment could sell Allied-made repair parts back to Allied. Both of these clauses excluded repair parts made by Allied’s subsidiary, White Farm Equipment Company (White Farm) (defendant). Despite this exclusion, Allied always credited Farm Equipment for the return of both Allied- and White Farm-made repair parts. In 1988, after Allied terminated Farm Equipment’s dealership, Allied rebuffed its ex-dealer’s attempt to sell back White Farm-made repair parts. Farm Equipment sued to compel White Farm to repurchase its repair parts. The trial court entered summary judgment for White Farm, and Farm Equipment appealed to the Indiana Court of Appeals.
Rule of Law
Holding and Reasoning (Hoffman, J.)
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