Holmes Tuttle Broadway Ford, Inc. v. Concrete Pumping, Inc.

639 P.2d 1057, 131 Ariz. 232
CourtCourt of Appeals of Arizona
DecidedJanuary 11, 1982
Docket2 CA-CIV 4071
StatusPublished
Cited by5 cases

This text of 639 P.2d 1057 (Holmes Tuttle Broadway Ford, Inc. v. Concrete Pumping, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals of Arizona primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Holmes Tuttle Broadway Ford, Inc. v. Concrete Pumping, Inc., 639 P.2d 1057, 131 Ariz. 232 (Ark. Ct. App. 1982).

Opinion

OPINION

HATHAWAY, Chief Judge.

This appeal is from the dismissal for lack of personal jurisdiction over the defendant [Concrete Pumping] of the plaintiff’s [Holmes Tuttle] claim sounding in contract and in tort for conversion. The single issue presented on appeal is whether Arizona courts have personal jurisdiction over Concrete Pumping, a Colorado corporation.

The facts are not in dispute. On May 8, 1980, William Powers, parts salesman for Holmes Tuttle, received a telephone call from Leslie Ainsworth, president of Con *233 crete Pumping, advising that he had a vehicle “down” in Albuquerque and needed a 3208 Caterpillar Diesel engine. Mr. Ains-worth did not inform Powers that the “down” vehicle in Albuquerque had any relationship to Holmes Tuttle or that it had originally been sold by Holmes Tuttle to Challenge-Cook from whom Concrete Pumping acquired it. This information was learned later.

Powers made several long distance telephone calls in an effort to locate the required engine. He and Ainsworth exchanged several long distance calls. During the course of their conversations, Powers suggested a rebuilt engine, which would have been substantially cheaper than the one ultimately purchased by him. Ains-worth advised that he was interested only in a strictly new engine. Powers finally located a new engine of the type sought and advised Ainsworth. Ainsworth told Powers that he had found another new engine also, but that he wished to buy the higher-priced engine from Holmes Tuttle because it could be delivered earlier. He requested that Holmes Tuttle ship the engine to him. Holmes Tuttle purchased the engine the following day, May 9, 1980, received it, checked it over and shipped it to Concrete Pumping in Albuquerque, New Mexico, pursuant to Ainsworth’s direction. On May 25, 1980, Holmes Tuttle sent an invoice statement for the engine to Concrete Pumping, requiring payment of the agreed purchase price by June 10, 1980. Concrete Pumping notified Holmes Tuttle by letter dated June 30, 1980, that it was refusing to pay the purchase price of the engine. The basis for its refusal was explained in the letter, which is here set forth in toto in view of its importance to the problem before us:

“June 30, 1980
Holmes Tuttle Ford, Inc.
P.O. Box 2552
Tucson, AZ 85702
Gentlemen,
On July 6, 1979 we purchased from Challenge-Cook Bros, a Titan 3900 Concrete Pump mounted on a new 1978 Ford CT 8000 ID # Q80DVCC6335 powered by a Cat 3208 engine.

This truck was sold to Challenge-Cook by you, and was pre-delivery checked by you.

The truck was delivered to our yard at 5338 Williams S.E. in Albuquerque, New Mexico.

We have had several Ford CT 8000’s with the Caterpillar 1150 or 3208 engine, and have encountered extremely short engine life and severe overheating problems with them. We have contacted Ford on numerous occasions to no avail, but have finally developed a system of preventative maintenance including installation of oversized radiators to get good engine life. Our maintenance system calls for 50 hour air filter changes, 150 hour oil, oil filter and fuel filter changes, and an oil analysis on each change.

Our Albuquerque manager, Ron Vaughn, is the most meticulous maintenance man in our company, and we felt this Ford truck, the only thing available at the time, was a safe gamble in his hands.

Upon receiving the truck, we installed an hour meter, and performed an oil change to remove break in oil. The truck was then placed in service. An oil sample was sent to D.A. Laboratories.

At the next scheduled oil change, another oil sample was sent to D.A. Shortly after sending in the sample, a phone call and telegram was received from D.A. alerting us that the oil was very dirty.

Our manager immediately did another oil change and increased his air filter changes in an attempt to “clean” up the oil.

In his examination of the truck he noted the air filter cannister did not align with the rubber boot on the cowling designed to bring in fresh air to the engine.

He took the truck to Richardson Ford in Albuquerque, to have this and some other problems, such as engine overheating, fixed. He was informed by Richardson Ford that the truck was out of warranty as their “computer” showed the date of sale as being over one year even though we only had a few thousand miles *234 on the truck, and had a bill of sale showing it to be one month old.

Richardson Ford did not attempt to align the air filter, nor did they explain the alignment pin to Ron Vaughn.

The boot sealing the air intake to the air filter cannister was ruined by the misalignment and was ordered. This took 6 weeks to arrive.

In the interim, we changed air filters daily, but were unable to stop the rapid wear rates inside the engine.

The engine soon began to burn excessive amounts of oil and became hard to start because of poor compression.

We contacted Ford Motor Company in the person of Mike Pfau, Herb Halber-stadt, Don Bell, and George Bruchner.

Mr. Pfau visited our yard in Albuquerque, inspected the engine, returned to Phoenix, and called telling us that warranty was denied as the engine failure was caused by dirt and poor engine maintenance.

We pursued every alternative to receive warranty consideration on this engine, including numerous telephone calls and letters to all concerned.

When the engine started using approximately 1 quart of oil per hour, we felt we could wait no longer.

We called you and ordered a new Caterpillar 3208 engine complete, re your invoice number 45062 and had it shipped to us in Albuquerque.

We hereby refuse to pay for this engine, and refuse to return the old engine until credit is issued.

We would not accept a rebuilt engine as the old engine was too badly damaged. It could have initially been rebuilt, but not now. We felt we paid $35,000.00 for a new truck with a new engine for maximum life and minimum maintenance, and will accept nothing less. We paid in good dollars, we expect good equipment.

We also have our cost installing the engine, freight, and excessive oil usage for the period of time we used the old engine.

We are sorry we have to deal with Ford this way, but it only reflects the way Ford has dealt with us. Mike Pfau left messages with his secretary telling her to tell me he would not return my calls as he had made his decision and would not discuss it further.

I invited Mike Pfau and Herb Halber-stadt to meet me in Albuquerque to look at the problem, but they declined.

Awaiting your reply.

Sincerely,

CONCRETE PUMPING, INC.

/s/ Leslie E. Ainsworth

Leslie E. Ainsworth

President

LEA/pr”

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Bluebook (online)
639 P.2d 1057, 131 Ariz. 232, Counsel Stack Legal Research, https://law.counselstack.com/opinion/holmes-tuttle-broadway-ford-inc-v-concrete-pumping-inc-arizctapp-1982.