Opinions Nov. 25, 2020
7th Circuit Court of Appeals
BRC Rubber & Plastics, Inc. v. Continental Carbon Company
20-1011
Appeal from the United States District Court for the Northern District of Indiana, Fort Wayne Division. Magistrate Judge Susan L. Collins.
Civil. Affirms the district court’s order for seller Continental Carbon Company to pay damages to buyer BRC Rubber & Plastics Inc. and the award of prejudgment interest to BRC for the cost of replacing lost supply at higher prices. Finds the district court properly applied Section 2-609 of the Uniform Commercial Code to find that the seller gave the buyer reasonable grounds for doubting that it would perform and that the seller repudiated by failing to provide adequate assurance that it would continue to perform. Also finds the court properly applied Section 2-712 to find that the buyer’s cover was commercially reasonable. Finally, finds the court did not err in awarding prejudgment interest.