Lexis Nexis - Case Brief

Not a Lexis Advance subscriber? Try it out for free.

Law School Case Brief

All-Tech Telecom, Inc. v. Amway Corp. - 174 F.3d 862 (7th Cir. 1999)

Rule:

When there is an express contract governing the relationship out of which the promise emerged, and no issue of consideration, there is no gap in the remedial system for promissory estoppel to fill. 

Facts:

A telecommunications company sued defendant marketer for intentional and negligent misrepresentation and promissory estoppel after defendant marketer made research claims for a new product that turned out to be a flop. After the trial court granted summary judgment to defendant, the telecommunications company appealed. 

Issue:

Was summary judgment in favor of the marketer proper?

Answer:

Yes

Conclusion:

After noting that the parties had a contract covering the relationship in the course and within the scope of which the alleged warranty of thorough research was made, the appellate court affirmed the ruling for defendant because alleged misrepresentations were either puffery or meaningless sales patter. The court could not think of any reason for using the doctrine of promissory estoppel to resuscitate plaintiff's claim.

Access the full text case Not a Lexis Advance subscriber? Try it out for free.
Be Sure You're Prepared for Class