JP Morgan Chase Bank, N.A. v. Asia Pulp & Paper Co. Ltd.

Dist. Ct. did not err in entering judgment in favor of plaintiff in contract action alleging that defendant failed to pay over $53 million on two contracts to purchase paper-making machines that were guaranteed by defendant even though defendant argued that manufacturer breached several implied warranties with respect to construction of said paper-making machines and misrepresented its design and construction expertise. Record showed that defendant had entered into prior settlement agreement with manufacturer that released all of defendant’s claims pertaining to construction, sale and installation of said paper-making machines, but specifically preserved defendant’s obligation to pay on purchasing notes. Ct. also rejected defendant’s promissory fraud claim that manufacturer had falsely represented that instant notes were temporary in nature, and that other financing would be secured, where Illinois does not recognize cause of action for promissory fraud.