Mississippi Chemical Corp. v. Dresser-Rand Co.
United States Court of Appeals for the Fifth Circuit
287 F.3d 359 (2002)
- Written by Alex Ruskell, JD
Facts
Mississippi Chemical Corp. (plaintiff) made ammonia. In an effort to increase production, Mississippi bought a new machine and compressors from Dresser-Rand Co. (defendant). Dresser-Rand had worked with Mississippi before and provided warranties for the new machine and compressors. The machine and compressors broke several times and halted production at Mississippi’s plant. Mississippi covered some of its ammonia losses by dipping into its inventory and sued Dresser-Rand, arguing it was entitled to consequential damages of lost profits. The court ruled in Mississippi’s favor, and Dresser-Rand appealed. Dresser-Rand argued that any damages should be limited to the cost of the substitute ammonia used as cover.
Rule of Law
Issue
Holding and Reasoning (Jolly, J.)
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