Chicago Prime Packers, Inc. v. Northam Food Trading Co.
United States Court of Appeals for the Seventh Circuit
408 F.3d 894 (7th Cir. 2005)
Chicago Prime Packers (plaintiff) sold pork ribs to Canadian buyer Northam (defendant), who refused to pay after a USDA inspector found the ribs spoiled upon reaching Northam's customer, Beacon; Northam argued the ribs were already spoiled before its carrier picked them up from Chicago Prime's supplier, excusing payment. The district court found Northam bore the burden of proving nonconformity existed at the time risk transferred and that Northam failed to show the inspected ribs were even part of the same shipment, ruling for Chicago Prime; Northam appealed.
Whether, under the CISG, a defendant-buyer who raises nonconformity of goods as an affirmative defense to a seller's suit for payment bears the burden of proving that nonconformity existed at the time risk of loss transferred to the buyer.