Konic International Corporation v. Spokane Computer Services, Inc. case brief summary
(Court of Appeals of Idaho, 1985)
Procedural History: Magistrate without jury ruled that there was no contract between parties because of lack of authority of an employee of the defendant. Plaintiff appealed to the District Court. the District Court upheld the magistrate’s judgment. Plaintiff then appealed to Appellate Court. Appellate Court affirmed the magistrate’s judgment, however for different reasons.
Case Facts: A young employee of the defendant agreed to purchase a surge protector for “fifty-six twenty” thinking it cost $56.20 but in reality it cost $5,620. Once the defendant realized the mistake, they tried to return it. The plaintiff, however, refused. They went to court.
Issue: Whether a contract (K) is valid when there is a misunderstanding about the terms between parties.
Holding: Both parties attributed different meanings to the same term, “fifty-six twenty.” Thus, there was no meeting of the minds of the parties since there were two meanings to a material term. We do not reach the issue of whether Young had authority to order the equipment. (attorney’s fees) Because this was a suit on a contract for the alleged sale of goods, the defendant is entitled to an award of attorney fees on appeal as the prevailing party, even though no liability under a contract was established.