Bartush-Schnitzius Foods Co. v. Cimco Refrigeration, Inc.
Supreme Court of Texas
518 S.W.3d 432 (2017)
Bartush-Schnitzius Foods Company (defendant) hired Cimco Refrigeration, Inc. (plaintiff) to install a refrigeration system, but the system's defrost unit could not handle the temperature Bartush needed, causing ice buildup that made the fan motors malfunction. Bartush still owed Cimco over $100,000 under the contract but stopped paying and instead hired a third party to install a working defrost unit. Cimco sued for the unpaid balance, and Bartush counterclaimed for the cost of the replacement unit. The jury found both parties breached, that Cimco breached first, and that Bartush's breach was not excused, yet the trial court entered judgment entirely for Bartush. Cimco appealed.
Whether a nonmaterial breach of contract by one party excuses the other party's future performance under the contract.