Dist. Ct. did not err in granting defendant’s motion for summary judgment in action alleging that defendant violated Texas law when it terminated its dealership agreement with plaintiff without good cause. Record showed that plaintiff purchased assets of entity that had dealership agreement with defendant, and relevant Texas statute allowed defendant to terminate dealership agreement, where, as here, there was “sale or other closeout of substantial part of dealer’s assets related to [its] business.” As such, instant termination meant that defendant had no further business relations with prior entity, and plaintiff had no “shoes” to step into so as to support its claim that it was authorized dealer of defendant’s products. Fact that defendant had initially filled orders made by plaintiff did not require different result.
Federal 7th Circuit Court
Civil Court
Dealership