Ole Mexican Foods, Inc. v. Hanson Staple Co.

CARLEY, Justice.

Appellee Hanson Staple Company brought suit for breach of contract, alleging that Appellant Olé Mexican Foods, Inc. failed to purchase over $300,000 worth of packaging which was specially manufactured by Appellee for Appellant. In its answer, Appellant denied all liability and asserted in a counterclaim that Appellee had “breached its agreement with [Appellant] by shipping defective product.” Thereafter, the parties negotiated a handwritten “agreement reached in settlement,” outside the presence of counsel, which provided, in relevant part, that Appellant would “purchase a…