Goldstein v. Stainless Processing Co.

Goldstein (plaintiff) agreed to buy nickel cathodes from Stainless (defendant), sending a $20,000 deposit check that Stainless was supposed to hold, not cash, until Goldstein approved the goods and paid in full upon delivery; Goldstein simultaneously had his bank stop payment on that check. When Stainless received the check, it tried to cash it anyway, and after learning payment had been stopped, Stainless cancelled the contract. Nickel prices had risen by then, and Goldstein had to buy replacement cathodes elsewhere for $23,000 more, then sued Stainless for that difference; the trial court ruled for Stainless.