Associates Loan Co. v. Walker
New Mexico Supreme Court
416 P.2d 529 (1966)
Relevant factsFree
The Walkers (defendants) orally agreed with seller Partin to a trial run of a water softener before any purchase obligation would arise, then signed a written sales contract; Partin assigned the contract to Associates (plaintiff) during the trial period, the trial run failed, and Associates sued for payment despite the unsuccessful trial run.
IssueFree
Whether, where the parties to a written sales contract orally agree to a trial run of the product prior to consummation of the sale and the product fails in its trial period, the buyer is obligated to pay a third party to whom the seller assigned the sales contract.