H.H. Taylor, C.A. v. Ramsay-Gerding Construction Co.

The Taylors (plaintiffs) hired Ramsay-Gerding (co-defendant) to build a hotel using stucco siding made by ChemRex (co-defendant); after concerns arose about the stucco fittings rusting, the parties met with ChemRex's territory manager, McDonald, who orally promised a five-year warranty and later confirmed it in writing on ChemRex letterhead, signed with his territory-manager title. When rusted fittings later surfaced and went unrepaired, the Taylors sued Ramsay-Gerding and added a breach-of-warranty claim against ChemRex; ChemRex argued no reasonable jury could find McDonald had authority to issue the warranty, but the jury found he had apparent authority and that ChemRex breached it, and the court of appeals reversed, prompting the Taylors' appeal.