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This section contains the nature of the case and procedural background.

Briggs Manufacturing (D) agreed to a contract with Toombs (D1) to ship housing material to Alaska. D quoted estimated costs for freight, long shoring, and lightering. Both parties anticipated that D's quoted costs for these services would be accurate. D1 relied on D's quotes to decide whether to purchase the housing. D's estimated charges were very inaccurate, and D1 refused to pay more than the quoted amounts. U.S. (P) sued D for these charges and D counterclaimed D1 for indemnity. P was given a judgment against D.

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