With society rapidly advancing and contract law constantly developing, the simple act of reducing agreements to writing is as significant now as ever. Especially when tens of millions of dollars are on the line. In Power Restoration Int’l, Inc. v. PepsiCo, Inc., 2015 U.S. Dist. LEXIS 32415 (E.D. Pa. 2015), Power Restoration alleged that Pepsico orally promised to hire Power Restoration to perform services and that Pepsico ultimately terminated Power Restoration due to alleged failure to perform. Pepsico asserted the Statute of Frauds as a defense, but Power Restoration claimed that the oral agreement was not expected to be in writing and that it would have been evidenced by future purchase orders. The court dismissed Power Restoration’s breach of contract claims, holding that although the subject relationship was service-based, a material portion of it nonetheless governed the sale of goods.
The Law Office of Aaron M. Schlossberg, P.C.
(This writing is for general information purposes only, should not be construed as legal advice and does not establish an attorney-client relationship.)
