Friday, December 27, 2013

J.J. Brooksbank Co. v. Budget Rent-a-Car Corp. case brief

J.J. Brooksbank Co. v. Budget Rent-a-Car Corp. case brief summary
337 N.W.2d 372 (1983)

CASE SYNOPSIS
Appellant and cross-respondent franchisee and respondent and cross-appellant rental car company each sought review of an order from the District Court, Hennepin County (Minnesota), which held, in the franchisee's declaratory action to ascertain its rights under a licensing agreement with the rental car company, that the franchisee was entitled to receive a 10 percent discount on the cost of reservations.

CASE FACTS
Shortly after the rental car company began, it entered into a franchise agreement with the franchisee. The agreement included a provision that the franchisee would receive all reservations from the rental car company's reservation office free of charge. At the time of the agreement, the parties used a two-tier telephone-based reservation system. As technology progressed, the rental car company began to use a computerized system and sought fees from the franchisee. The franchisee argued that under the agreement, the reservations were free. The rental car company argued that the agreement did not contemplate a system other than telephone reservations. The franchisee filed a declaratory action, and the trial court ordered the franchisee to pay the fees, but granted it a discount. Both parties sought review.

DISCUSSION

  • The court found that the agreement did not contemplate a more advanced reservation system, that the trial court properly determined that the franchisee was not entitled to cost-free reservation, but that the franchisee was entitled to a greater discount of a one-third reduction in reservation costs because it had such a long-term agreement with the rental car company.

CONCLUSION
The court modified the amount of the discount given to the franchisee, and affirmed the trial court's decision.

Suggested law school study materials

Shop Amazon for the best prices on Law School Course Materials.

No comments:

Post a Comment

Search Thousands of Case Briefs and Articles.