Plotnick v. Pennsylvania Smelting & Refining Co.

194 F.2d 859 (3rd Cir. 1952)

Purchase the Printed Copy at bsmsphd.com

Nature of the Case

To access this section all you need to do is click here and register.

Facts

Plotnick (P) agreed to supply Pennsylvania (D) battery lead. Under the installment contract, numerous shipments of lead were made with P complaining that the payment for those shipments was very often late. Several shipments were not made at the times required by the contract. P then decided not to ship remaining carloads due until unless a recently delivered carload was paid for. D promised to pay 75% of the price of the prospective shipment and the full price of the third installment. P then replied that the contract was canceled unless the prior shipment was paid in full and a letter of credit was established to cover the next shipment. D then replied that he would place the overdue payment in escrow and would accept the remaining lead with a sight draft attached for the full price. Eventually, during these exchanges, the Canadian government imposed export control on lead. The trial court concluded that D did breach the contract, but it was not a material breach that excused full performance by P. P appealed.