Atlantic Refining Co. v. Kelly

The Atlantic Refining Company secured a decree restraining the defendants from selling or distributing from their gas station in Margate City motor fuel, oil and grease not manufactured or sold by the complainant.

The parties had entered into a contract providing for the installation upon the defendants' premises of pumps, tanks, pipes, apparatus and driveways suitable for retail sale of the refining company's products. These products were to be exclusively sold by the defendants for a period of five years. The contract also provided for liquidated damages in the event of breach.

At the hearing…