Republic-Odin Appliance Corp. v. Consumers Plumbing & Heating Supply Co.

Plaintiff is a manufacturer of home water heaters. For about seven years, it did a large-scale business with defendant, which sold at wholesale to building contractors and at retail to home owners. This dual mode of business apparently offended the notions of orderly marketing procedure held by plaintiff and plaintiff’s other customers who competed with defendant, and gave rise to friction.

Defendant’s dominating figure is Bichard Friedman, its president. He is a skillful bargainer in a business which is highly competitive, and adept at obtaining substantial price discounts in his purchases.…