American Anodco, Inc. And American Bumper & Manufacturing Company, Inc., Cross-Appellants v. Reynolds Metals Company, Cross-Appellee

Because I believe that the cancellation clause gave Reynolds the right to terminate the contract and that Reynolds did not waive reliance on it, I respectfully dissent.

The District Court refused to apply the cancellation clause of the purchase order apparently on the grounds that it was “a so-called boilerplate provision” whose application was questionable. The clause states that “Buyer may at its option cancel any unshipped merchandise or incompleted portion of this order at any time whether or not Seller is in default,” and that the buyer will pay the seller’s costs. Anodco argued in the…