Consumers Int'l v. Sysco Corp.
Arizona Court of Appeals
951 P.2d 897 (Ariz. 1997)
Relevant factsFree
Sysco (defendant) contracted with Consumers International (CI) (plaintiff) to supply at least 80 percent of CI's food-service products, with a clause letting either party terminate on 60 days' written notice; Sysco invoked the clause without stating a reason but with no evidence of bad faith, and CI sued for wrongful termination, arguing the implied covenant of good faith and fair dealing required Sysco to show good cause. The trial court granted Sysco summary judgment.
IssueFree
Whether the implied covenant of good faith and fair dealing inherent in every contract requires that a termination at will clause in an agreement be interpreted to require good cause.
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