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Trade Restraints - Inducing Breach Of Contract

Michigan Law Review

Plaintiff had "exclusive requirement" contracts with 90% of the users of electricity in various communities in Texas. Defendant was in the business of selling municipal electric plants to communities under a plan whereby, on assurance that enough users would enter into exclusive contracts to make the plant a success, the defendant agreed to look for payment to the revenue of the plant only. Installation of a municipal plant would, therefore, necessitate breaches of the "exclusive requirement" contracts on the part of some of plaintiff's customers. Held, that plaintiff was not entitled to an. injunction restraining defendant from inducing plaintiff's …