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Kabil Developments Corp. v. Mignot

Supreme Court of Oregon
566 P.2d 505 (Or. 1977)


Facts

Kabil Developments Corp. (Kabil) (plaintiff) allegedly entered into an oral contract with Inland Helicopters (Inland) (defendant) to purchase helicopter services it needed in a construction job for which Kabil was engaged. Inland denied that there was ever a contract and thus did not perform. Kabil then obtained helicopter services elsewhere at a higher price and brought this suit. At trial, Kabil sought to have Munroe, its vice president, testify that after discussions with an agent of Inland, Munroe felt that Kabil was obligated to purchase helicopter services from Inland because a binding contract had been formed. The trial court allowed the testimony for the limited purpose of its bearing on the acts of Munroe. Inland appealed.

Rule of Law

Issue

Holding and Reasoning (Linde, J.)

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