Interstate Industries, Inc. v. Barclay Industries, Inc.

540 F.2d 868 (1976)

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Interstate Industries, Inc. v. Barclay Industries, Inc.

United States Court of Appeals for the Seventh Circuit
540 F.2d 868 (1976)

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Facts

Barclay Industries, Inc. (Barclay) (defendant) manufactured fiberglass panels and sold them to Interstate Industries, Inc. (Interstate) (plaintiff) for a number of years. At one point during the parties’ business relationship, Barclay sent a letter to Interstate indicating that it could manufacture a new type of fiberglass panel. The letter included the prices that would be charged and expressly stated that the “price quotation is based on orders of 75,000 sq. ft. or more (truckload quantities) freight prepaid, F.O.B. Lodi, New Jersey.” Shortly thereafter, Interstate mailed two purchase orders for the fiberglass panels to Barclay’s office. Two months later, Barclay informed Interstate that it could not provide the panels as requested. Interstate filed suit in federal court against Barclay for breach of contract. Barclay filed a motion to dismiss the complaint or in the alternative to quash the return of service on the ground that the court lacked personal jurisdiction over Barclay. The district court denied Barclay’s motion, but allowed the company to file an interlocutory appeal to the U.S. Court of Appeals.

Rule of Law

Issue

Holding and Reasoning (Sprecher, J.)

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