Rich v. Eastman Kodak Co.

430 F. Supp. 658, 1977 U.S. Dist. LEXIS 16187
CourtDistrict Court, E.D. Missouri
DecidedApril 26, 1977
DocketNo. 75-841C(4)
StatusPublished
Cited by1 cases

This text of 430 F. Supp. 658 (Rich v. Eastman Kodak Co.) is published on Counsel Stack Legal Research, covering District Court, E.D. Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rich v. Eastman Kodak Co., 430 F. Supp. 658, 1977 U.S. Dist. LEXIS 16187 (E.D. Mo. 1977).

Opinion

MEMORANDUM

NANGLE, District Judge.

This matter is before the Court upon defendant’s motion for summary judgments in its favor on plaintiff’s claim and defendant’s counterclaim. Color Unlimited, Inc. brought this suit, pursuant to 28 U.S.C. § 1332, seeking to recover damages for alleged misrepresentations. On December 27, 1976, Hershel Rich, the sole shareholder of Color Unlimited, Inc., was substituted in its stead. Plaintiff owned and operated a professional color laboratory and purchased from defendant a video color negative analyzer (VCNA) and related equipment, and printers and related equipment. The VCNA was purchased from a third party, upon the condition that defendant would assess its condition and utility and provide all necessary maintenance and repair service. Plaintiff alleges that in reliance upon defendant’s advertising and meetings and discussions with defendant, plaintiff purchased only products of defendant’s manufacture and used only defendant’s maintenance and repair service. Plaintiff alleges that defendant made the following false representations:

A. Defendant represented to plaintiff in its advertising . . . that Kodak’s “service professionals know every piece of Kodak equipment like the back of their hand . . . they have the tools, parts and test equipment to handle the servicing job right on the spot”.
B. In September, 1971, defendant represented to plaintiff that the VCNA system was the most practical way to simplify work flow patterns and that its cost could be justified through substantial reduction of paper waste, elimination of testing, faster turn around and improved efficiency-
C. In the summer of 1972 at a photo finisher convention, defendant represented to plaintiff that VCNA and the following related equipment data printer, data converter, tape punch, tape reader and order input unit were highly accurate and productive and very useful in any laboratory and that VCNA system was dependable.
D. In the fall of 1972, defendant represented to plaintiff that a VCNA system simplified handling and that there was a minimal make over rate with a VCNA system and the VCNA was dependable.
E. In the fall of 1972, defendant represented to plaintiff that prompt service for VCNA and related equipment was always available by the finest trained specialists, who were the only persons authorized to service such equipment since schematics were kept secret to protect patent rights.
[660]*660F. In January, 1973, defendant represented to plaintiff that a VCNA with data converter was extremely accurate and dependable needing no pretest of production negative, therefore reducing waste.
G. In February, 1973, defendant represented to plaintiff that excellent test results achieved with VCNA and data converter was the rule and not an exception, and further represented that expanded slope control range capability of data converter was available for accurate control for both under and over exposed negatives.
H. In the summer of 1975, defendant represented to plaintiff that “What Kodak had done to me (plaintiff) was incredible” and that reasonable compensation or assistance would be provided in order to correct all past problems and to give an opportunity to rebuild plaintiff.
I. At the time of introduction of Vericolor II film into the market, defendant represented to plaintiff that it was much better than previous films, that neutral tones would appear more neutral, that film handling for it was the same as for previous film and that no problems were to be expected in the making of prints by plaintiff using its then existing equipment.
J. In 1973 defendant represented to plaintiff that the VCNA’s data printer provided the same information as that of the control panel.
K. In the fall of 1972, in October, 1973, and in July, 1974, defendant represented to plaintiff on each occasion that efficient service and maximum effort were to be expected from Kodak’s service, that all Kodak equipment service representatives were experienced with and familiar with the equipment of defendant’s manufacture plaintiff had purchased for use in making prints in its professional color laboratory. On said occasions, defendant further represented to plaintiff that specialists would be quickly called when needed and were always available for consultation.
L. That in February, 1974, and in January, 1975, defendant represented to plaintiff on each occasion that the VCNA’s data compensator would make the VCNA screen match more even than before with both Ektacolor and Vericolor II film, but that the data compensator was not needed for either film.
M. That in the spring of 1975, when a new RCA scanner and display tube was installed, they would have a longer life than previous tubes.
N. That during the period 1972-1974 on many occasions, defendant represented to plaintiff that a VCNA with data compensator would provide simplified handling, no testing and fewer make overs when compared to any other system including photo tubes, further represented that it would pay for itself, and further told it could gain and hold new customers for all negatives including making of proofs.
O. That on each occasion during the period 1973-1975 when a repair was made, defendant represented to plaintiff that the equipment had been repaired and it was ready to be used.
P. That during the period 1972-1974, defendant represented to plaintiff that the VCNA was highly stable and plaintiff could expect many months of trouble-free experience.
Q. That in January, 1973, defendant represented to plaintiff that the data converter would provide prints that matched VCNA screen, if slope control negatives matched screen.
R. That in the fall of 1972 and in the spring of 1973, defendant represented to plaintiff that a photo tube system with S-Printer would no longer be needed when using a VCNA system and that VCNA was recommended even for proofs.
S. In spring, 1975, defendant represented to plaintiff that photo tubes were in-practicable [sic] to the VCNA as a backup.
T. That in the spring of 1971 and in the spring of 1972, defendant represented to plaintiff on each occasion that an 80% [661]*661saleable first print yield should be expected with no need to pretest negatives, that a subject failure was the only case for bad color in prints, that excellent and prompt service from local service center should be expected, that no training was needed for S-Printer repairs as long as Kodak service policy was maintained, that Kodak would fix any S-Printer malfunction and that problems were uncommon with S-Printers since proper adjustments eliminated problems.

Plaintiff alleges that all of the above representations were false; that plaintiff relied on the same; and that plaintiff was damaged as a result.

Defendant filed a counterclaim against Hershel Rich and Linda Rich to recover $29,340.06 for supplies and services provided. Plaintiff and third-party defendants Rich concede that this sum is due and owing.

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Bluebook (online)
430 F. Supp. 658, 1977 U.S. Dist. LEXIS 16187, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rich-v-eastman-kodak-co-moed-1977.