Groseth International v. Tenneco, Inc.

410 N.W.2d 159 (1987)

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Nature of the Case

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Facts

IHC negotiated a purchase agreement with Tenneco (D) for the sale of selected assets and liabilities from IHC. D did not acquire IHC's franchise network as part of the agreement but did gain access to many IHC dealers, many of whom eventually received a Tenneco franchise. In conflict areas where existing Tenneco and IHC franchisees conducted business, only one franchise contract was offered. Mostly IHC dealers got the franchises, but in Yankton, Mark's Machinery was chosen over Groseth (P). P alleged that D breached the IHC franchise agreement. P sued D for a breach of contract, and the trial court gave D a summary judgment. P appealed.