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Harris Calorific Sales Co. v. Manifold Systems, Inc.

Citations: 18 Conn. App. 559; 559 A.2d 241; 1989 Conn. App. LEXIS 175Docket: 6921

Court: Connecticut Appellate Court; June 6, 1989; Connecticut; State Appellate Court

Narrative Opinion Summary

In this case, the defendant appealed a trial court judgment requiring payment to the plaintiff under a modified contract. The primary legal issues involved include contract modification, noncompetition clauses, and the awarding of interest for wrongful payment withholding. The plaintiff, a seller of welding supplies, had entered into a contract with the defendant, a manufacturer of gas distribution manifolds, which included a noncompetition clause. A later agreement in 1984 modified the original 1982 contract. The trial court found that the later agreement was valid, not signed under duress, and provided the necessary consent for the plaintiff to engage with a customer despite the noncompetition clause. The court also awarded the plaintiff damages and interest for the wrongful withholding of payment. The defendant's appeal challenged the trial court’s findings on several grounds, including the validity of the contract modification and the award of interest. The appellate court affirmed the trial court's decision, emphasizing that contract modifications require mutual assent and consideration, which were present in this case. The appellate court also upheld the trial court's discretion in awarding interest as damages, even amidst a legitimate contract dispute, and found no error in the trial court's denial of the defendant's motions for special findings.

Legal Issues Addressed

Award of Interest under General Statutes 37-3a

Application: The court determined that interest can be awarded as damages at the trial court's discretion, even in the presence of a legitimate dispute over contract interpretation.

Reasoning: Interest can be awarded from when the payment becomes due, and the court's decision can only be reversed if there is an abuse of discretion.

Contract Modification

Application: The court upheld that a subsequent agreement can modify an earlier contract if there is mutual assent and sufficient consideration.

Reasoning: The appellate court upheld the trial court's finding of modification, asserting that the existence of a contract is a factual question. Subsequent contracts can alter existing ones if there is mutual assent and sufficient consideration, which can include mutual promises.

Denial of Motion for Special Findings

Application: The appellate court concluded that the denial of a motion for special findings is not assignable as error, as established in case law.

Reasoning: A denial of a motion for a special finding under General Statutes 52-226 cannot be assigned as error, as established in case law (Davis v. P. Gambardella, Son Cheese Corporation; Montanaro Bros. Builders, Inc. v. Snow; Tower v. Camp).

Noncompetition Clause and Consent

Application: The court found that the plaintiff obtained the necessary consent to engage with a customer despite a noncompetition clause in the earlier agreement.

Reasoning: The trial court upheld the validity of the later agreement, found no duress in its signing, and concluded it modified the earlier agreement, providing the required consent for the plaintiff to engage with the customer.