United Dairymen of Arizona v. Schugg

OPINION

WINTHROP, Presiding Judge.

¶ 1 Michael K. Schugg and Debra L. Schugg (“the Schuggs”) appeal from a judgment for liquidated damages in favor of the United Dairymen of Arizona (“UDA”). They also appeal from summary judgment on various counterclaims. For the reasons that follow, we find that the trial court improperly authorized an award of liquidated damages for breach of the implied covenant of good faith and fair dealing and reverse the judgment. We also find that genuine issues of material fact precluded summary judgment on two of the Schuggs’ counterclaims and we remand for further…