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Stroh Brewery Co. v. Grand Trunk Western Railroad Co.

United States District Court for the Eastern District of Michigan
513 F. Supp. 827 (1981)


Facts

The Stroh Brewery Company (Stroh) (plaintiff) ordered a train carload of malt to use in Stroh’s brewing process. The malt was to be delivered by rail by Grand Trunk Western Railroad Company (Grand Trunk) (defendant). The malt was placed in hopper car number CNW 172379. Around the same time, Rickel Malting Company, Inc. (Rickel) ordered a carload of barley, which was placed in hopper car number CNW 173379. Employees of Grand Trunk mistakenly sent the car of barley intended for Rickel, rather than the car of malt intended for Stroh, in the series of cars sent to Stroh. Stroh’s employees did not notice the mistake, because of the similarity in appearance between the malt and barley. The barley was unloaded and mixed with Stroh’s malt, resulting in contamination of the malt and the burning out of the engines used for grinding. Stroh sued Grand Trunk for breach of contract and sought, as consequential damages, the cost of Stroh’s malt that was contaminated and the cost of removing the contaminated malt from Stroh’s brewing facility.

Rule of Law

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Issue

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Holding and Reasoning (Cook, J.)

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  • A "yes" or "no" answer to the question framed in the issue section;
  • A summary of the majority or plurality opinion, using the CREAC method; and
  • The procedural disposition (e.g. reversed and remanded, affirmed, etc.).

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