British American & Eastern Co., Inc. v. Wirth Limited

592 F.2d 75 (1979)

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Nature of the Case

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Facts

P was the United States representative for an Austrian steel mill known as VMW. In 1973, when P reached 74 years of age, VMW began looking for a younger successor. VMW engaged D to be its United States representative in February 1974. P and D entered into a written agreement not to interfere in each other's business, and that P will actively support D's sales efforts in the U.S.A. and Canada, as well as help, obtain maximum quantities of base metals from VMW at competitive prices. P was to be entitled to a fee (of 1/4 to 1/2 cents per pound on sales of aluminum, copper and brass products shipped by VMW through D). P became concerned that D was mishandling VMW's business, thus depriving him of commissions he otherwise would have earned. P suggested that VMW should take steps to rid itself of D. D claimed that P accepted bribes from Non-Ferrous, a customer of D, in exchange for an increase in Non-Ferrous' allocation of scarce aluminum. P alleged that the payments he received from Non-Ferrous were not bribes but were in fact payments for past services and that he had told D of this arrangement when they first began working together. P also claimed that these payments ceased soon after his agreement with D took effect. D ceased making the payments to P required by the contract in January 1976. P sued for breach of contract. The court dismissed D's defenses and counterclaims The district court awarded P $27,085.84 in damage. D appealed.