Smith v. Navistar International Transportation Corporation
United States Court of Appeals for the Seventh Circuit
957 F.2d 1439 (1992)
Relevant factsFree
After extensive research and negotiation, Smith (plaintiff) bought a truck from Navistar (defendant) under a contract expressly excluding consequential damages and all warranties beyond a repair-or-replace remedy; when persistent brake problems required ten repairs in six months (though all covered under warranty) and cost Smith his trucking employment contract, he sued for consequential damages, and the district court limited recovery to the truck's purchase price under the contract's exclusion.
IssueFree
Whether, under the Uniform Commercial Code, parties can contract to limit or exclude consequential damages unless the limitation or exclusion is unconscionable.