Managers and the Legal Environment 7th Edition by David Madsen, Constance Bagley

Exercise 9

American Brass manufactured and sold brass and copper products, primarily in coil form. This manufacturing process generated a considerable amount of waste in the form of dust that American Brass sold to Westmin Corporation for use in a trace mineral premix that Westmin in turn sold to Nufeeds, Inc. for use in its cattle feed products. When it found dioxin in the dust, Nufeeds was forced to recall its cattle feed products. Nufeeds then sued American Brass for breach of the warranty of merchantability. What arguments can American Brass make in its defense? Who should win? [Nufeeds v. Westmin Corp., 59 U.C.C. Rep. Serv. 2d 422 (Md. 2006).]