Opinion ID: 2975622
Heading Depth: 3
Heading Rank: 2

Heading: Breach of the 1997 Manufacturing Agreement

Text: In its counter-complaint, NRTC alleges a breach by Sparton of the 1997 manufacturing agreement and specifically alleges that Sparton failed to produce LINKS units in a workmanlike manner. NRTC argues on appeal that “[t]he evidence conclusively established that there were manufacturing defects” in the LINK units manufactured by Sparton, in violation of § 7.1 of the manufacturing agreement. NRTC cites testimony from Sparton personnel admitting that certain manufacturing defects existed relating to the LINK units. Sparton, on the other hand, points to testimony in the record which characterized the defects as minor and occurring in only a small number of the units produced. There was also testimony that some of the defects were design defects which were the responsibility of Util-Link, as well as testimony that Sparton cured all of the referenced manufacturing defects by repairing or replacing the LINK units returned to it. Our standard of review on this issue is the same as the standard of review applied on Sparton’s estoppel claims. We review the district court’s determination of a motion for judgment as a matter of law de novo, as set forth above. A court should grant the motion only if reasonable minds could reach only one conclusion from the evidence. We agree with the district court that there is no need for any extended discussion on this issue. Even a cursory review of the record in this case -15- Nos. 06-1582 and 06-1687 Sparton Technology, Inc. v. Util-Link, LLC and National Rural Telecommunications Cooperative establishes conflicting evidence on this issue which the jury reasonably resolved in favor of Sparton. We cannot say, as a matter of law, that reasonable minds could draw but one conclusion from the evidence on this issue and we, therefore, affirm the district court on this issue.