Rehm-Zeiher Co. v. F.G. Walker Co.

Rehm-Zeiher Co. (plaintiff), a whisky seller, contracted with distillery owner F.G. Walker Co. (defendant) to buy increasing quantities of whisky each year from 1909 through 1912. The contract let Walker cancel only if fire destroyed its products or distillery, but let Rehm-Zeiher refuse to accept and pay for all or part of any delivery for "any unforeseen reason." Rehm-Zeiher took far less than the contracted amounts in 1909 and 1910, and in 1911, after whisky prices rose sharply, Walker delivered only part of the contracted amount and refused to deliver more; Rehm-Zeiher sued for breach, and the trial judge directed a verdict for Walker on the ground that the contract lacked mutuality of obligation.