DeValk Lincoln Mercury, Inc. v. Ford Motor Company

United States Court of Appeals, Seventh Circuit

811 F.2d 326 (1987)

Relevant factsFree

DLM's (plaintiff's) dealership agreement with Ford (defendant) required mediation of disputes before pursuing other legal remedies and specifically barred Ford from waiving that requirement, but when repurchase-price disputes arose after DLM closed its dealership, DLM sued Ford directly in federal court without ever submitting the dispute to mediation, and the district court granted Ford summary judgment.

IssueFree

Whether, when compliance with a mediation clause in a contract is a condition precedent to the right to pursue other legal remedies, a party fulfills the mediation clause's requirements by only substantially performing its requirements.

Holding & reasoning

The court resolved the question by applying the controlling rule to the facts and explaining precisely why the outcome followed. Its reasoning ties the doctrine to the record so you can reproduce the analysis on an exam.

Procedural history, concurrence & dissent

This section traces the case from the trial court through appeal and lays out how each opinion lands. Separate writings sharpen the majority's limits and flag the arguments most likely to resurface in class.

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