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U.S. Aprons, Inc. v. R-Five, Inc.

United States District Court for the District of Nebraska

2010 WL 489540 (2010)

Facts

U.S. Aprons, Incorporated (Aprons) (plaintiff) purchased textiles from R-Five, Incorporated (defendant). Aprons had a problem with the textiles and sued R-Five for breach of several warranties. R-Five claimed that the Worth Street Textile Market Rules (the rules) were incorporated into its contract with Aprons because it was a usage of trade in the textile industry to follow the rules. The rules were not referenced in any purchase orders. Neither Aprons nor the customers of Aprons were aware of the rules. The only evidence that the rules were usage of trade was testimony by an employee of a company owned by R-Five and a reference to the rules on the National Textile Association website. R-Five filed a motion for summary judgment in the district court based on the disclaimer of warranties contained in the rules.

Rule of Law

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Issue

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Holding and Reasoning (Kopf, 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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