Valley Die Cast Corp. v. A.C.W. Inc.

ACW (defendant) bought car-wash equipment from Valley (plaintiff) on a note, made a down payment and five payments before discovering the equipment was defective and demanding Valley remove it and refund payments; when Valley refused, ACW kept using the defective equipment until replacing it, renovating its building to accommodate new equipment, and retaining a few old components. Valley sued for the note balance, and ACW counterclaimed for breach of warranty and fraud; the jury found for ACW and awarded damages including replacement costs and lost profits, and both parties appealed.