Kenyon-Noble Lumber Co. v. Dependant Foundations, Inc.
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The Supreme Court affirmed the order of the district court holding that Kenyon-Noble Lumber Company (Kenyon Noble) had breached its contract with Dependent Foundations, Inc. (DF Inc.) by allowing a former authorized agent to charge on DF Inc.’s credit account after DF Inc. notified Kenyon Noble that it had ceased operations, holding that the district court did not err when it determined that DF Inc. was entitled to a presumption that Kenyon Noble received its letter terminating the agent’s authority.
On appeal, Kenyon Noble argued that it lacked notice of the agent’s termination, and therefore, it could not have breached the contract. The Supreme Court disagreed, holding (1) the district court properly concluded that the statutory presumption of receipt applied and that Kenyon Noble did not successfully rebut the presumption; and (2) the district court did not abuse its discretion in awarding DF Inc. and Mark Markovich attorney fees and costs, and DF Inc. and Markovich were entitled to attorney fees in connection with this appeal.
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