Atlas Copco Tools, Inc. v. Air Power Tool & Hoist, Inc.

OPINION

SAM J. DAY, Justice (Retired).

I. Introduction

Appellant Atlas Copco Tools, Inc. manufactures and sells industrial tools throughout the United States, primarily through regional distributors. Beginning in 1994, appellee Air Power Tool & Hoist, Inc. became one of appellant’s nonexclusive authorized distributors within parts of Texas and Louisiana. In May 2000, appellant appointed another Texas distributor, Tooling Technologies, L.L.C., by executing a nonexclusive distribution agreement, which included beneficial provisions that appel-lee’s agreement did not contain. Soon after, appellant…