Coal Resources, Inc. v. Gulf & Western Industries, Inc.

Defendant Gulf & Western Industries, Inc., appeals a jury verdict in favor of plaintiff Coal Resources, Inc., in this diversity of citizenship breach of contract action.1 Defendant acquired the assets of plaintiff under a contract called an Acquisition Agreement. A separate Assumption of Obligations clause was entered into whereby the defendant agreed to assume plaintiff’s rights and obligations under certain leases of Virginia coal mining property previously acquired by plaintiff. The jury determined that defendant breached the Assumption of Obligations clause and awarded damages.

Prior to…