Apex Mining Company, Inc., a Corporation v. Chicago Copper & Chemical Company, a Corporation

340 F.2d 985, 1965 U.S. App. LEXIS 6641
Court of Appeals for the Eighth Circuit·Decided February 5, 1965·No. 17703_1·Published·Cited by 18 cases

Opinion

RIDGE, Circuit Judge.

This is the third time this case has been before this Court. The facts giving rise to this protracted litigation are with *986 usual definitude stated by the late Judge John B. Sanborn of this Court, in Chicago Copper and Chemical Company v. Apex Mining Company, 281 F.2d 530 (8 Cir. 1960), and reverse title, at 306 F.2d 725 (8 Cir. 1962). Self-protection against delusion compels one to look at the clarity of facts there stated and adjudications made in the above-cited opinions. When that is done it is apparent it would only be supererogatory for us to try to expatiate thereon, or upon the facts stated by District Judge Harper at 226 F.Supp. 941, which give rise to this last appeal. Therefore, interested precisionists are referred to the above-cited authorities for all background facts involved in this appeal.

At 281 F.2d 530, we reversed and remanded this case, primarily because of findings made by the Trial Court to the effect that Chicago Copper, etc. had repudiated the contract here sued on as being contrary to the weight of the evidence and clearly erroneous. Thereafter, on remand the District Court entered judgment in favor of Chicago Copper, etc. in the amount of $12,009.85, which represented damage of $1.00 per ton for the substituted ore purchased by Chicago Copper during the contract period as a result of Apex’s breach of contract. We held there was no adequate evidentiary basis for that award of damages and again remanded this ease for further consideration of the amount of damages (306 F.2d 725).

In the last-cited opinion we noted that two questions were presented in connection with the issue of damages: (1) the extent of Chicago Copper’s diligence to mitigate its damage, which would bear on its claim for full excess paid for substituted ore; and (2) whether or not special damages had been contemplated by the contracting parties at the time of integration of the contract sued on. We there noted that these were fact issues which could only be determined by the Trial Court. (306 F.2d, l. c. 731.)

At retrial of such issues, District Judge Harper reached the conclusion that Chicago Copper had not taken reasonable efforts to mitigate its damages by procuring substitute ore at a reasonable-price. From his consideration of the evidence he pointed up the fact that during the contract period Chicago Copper-bought 1,750 tons of ore with an extremely low iron content for which it paid $21.50 per ton, which was $3.90 per ton over the price of similar ore contemplated at the contract price. That the-seller of that ore had other ore available-for $18.50 per ton which was within the contract specifications but which did have a higher iron content. He also found that during the contract period another mining company had ore available at $15.50 per ton, but that company was not approached by Chicago Copper. An individual miner testified that he had ore available meeting the contract specifications, but he also was not contacted by Chicago Copper. Both of the latter producers were located in the Missouri ore field, as was appellant. There was other testimony as to the availability of ore, but because of the evidence adduced in relation thereto it was not relied on by the Court. Recognizing that Chicago Copper actually paid $5.26 per ton over the contract price; and considering the-sweep of the testimony as above stated,, as well as other relevant factors, Judge Harper found appellant’s actual damages to be $3.00 per ton for the substituted' amount of ore purchased by it. Further finding that special damages were not. contemplated by the parties and that Chicago Copper had no justification for expenditures claimed on that score, a judgment of $36,029.55 was entered in-favor of Chicago Copper, and such is the premise of the judgment on appeal now before us.

Appellant does not attack the scheme of damages per se as found by Judge Harper, but rather, points to specific elements included within the range of such damages. Appellant seizes on a statement of the Trial Court, that the iron content in the substitute ore was not taken into account in setting the damages, but this, we think, has little relevancy. The contract sued on was entered *987 into because Chicago Copper needed barium sulfate in its manufacturing process; its negative interest in the amount of iron present was purely incidental. Iron present in the ore here considered in quantities over 3% did cause problems with appellee’s machinery operations. The contract sued on provided that the price was determined by the barium content •of the ore, and any amount of iron, from 0 to 3%, made no difference in the price. A fair reading of Judge Harper’s opinion ante reveals that actually he did consider the iron content in making his decision here — in that appellee did not make reasonable efforts to mitigate its damages, by paying an excessive price, partly the result of purchasing substantially iron-free ore.

As to appellant’s arguments •concerning specific portions of the damages allowed, it is clear that such was a question of fact for the Court, sitting without a jury, and, under Rule 52(a), F.R.Civ.P., must be accepted by this Court unless clearly erroneous. United States v. Horsfall, 270 F.2d 107 (10 Cir. 1959); United States v. Guyer, 218 F.2d 266 (4 Cir. 1954); Grant v. United States, 271 F.2d 651 (2 Cir. 1959). A finding is clearly erroneous when the reviewing court has a definite and firm conviction that it is a mistake, viewed in the light of all the evidence. This is so, even though there is some evidence to support the finding. United States v. United States Gypsum Co., 333 U.S. 364, 68 S.Ct. 525, 92 L.Ed. 746 (1948) ; McAllister v. United States, 348 U.S. 19, 75 S.Ct. 6, 99 L.Ed. 20 (1954). This Court has often stated that findings are clearly erroneous only when not supported by the evidence, or contrary to the weight of the evidence. Western Casualty & Surety Company v. Herman, 318 F.2d 50 (8 Cir. 1963).

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Apex Mining Company, Inc., a Corporation v. Chicago Copper & Chemical Company, a Corporation, 340 F.2d 985, 1965 U.S. App. LEXIS 6641 (8th Cir. 1965).

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