Thursday, December 26, 2013

Bak-a-lum Corp. of America v. ALCOA Building Products, Inc. case brief

Bak-a-lum Corp. of America v. ALCOA Bldg. Prods., Inc. case brief summary
351 A.2d 349 (1976)

Plaintiff appealed a decision of the Appellate Division (New Jersey), which affirmed a trial court's finding that defendant breached an exclusive distribution contract, on the basis that the award was inadequate.

Plaintiff sued defendant for an injunction and damages for alleged breach of an exclusive distributorship of aluminum siding and related products manufactured by defendant. The trial court denied the injunctive relief but awarded damages for breach of contract. The trial court denied defendant's request for prejudgment interest. Plaintiff appealed, claiming that the damages awarded were inadequate; defendant cross-appealed, asserting its conduct was not actionable.


  • The appellate division affirmed, but the supreme court ruled that there was a cause of action and that plaintiff was entitled to damages. 
  • The court modified the trial court's order to increase the amount that plaintiff was entitled to and affirmed the denial of prejudgment interest.
The trial court's decision was modified because plaintiff's award was inadequate, and the decision was affirmed because prejudgment interest to defendant was properly denied.

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