Cherokee County Cogeneration Partners, L.P. v. Dynegy Marketing & Trade

OPINION

KENT C. SULLIVAN, Justice.

This commercial dispute arises from a natural-gas seller’s failure to deliver an agreed quantity of gas to the purchaser, appellant Cherokee County Cogeneration Partners, L.P. (“Cherokee”). The seller, appellee Dynegy Marketing and Trade, 1 successfully moved for summary judgment by arguing Cherokee seeks only consequential “lost profits” damages disclaimed by the parties’ contract. We hold Cherokee has alleged compensable direct damages under the contract. Therefore, we reverse and remand.

I

BACKGROUND

Pursuant to a take-or-pay Gas Purchase Agreement (the…