E.C Styberg v. Eaton Corp US 2007 1) Facts a) Styberg manufactures custom components for manufactures b) In August 1998, Styberg began producing/selling prototype I-brakes to Eaton who purchased limited quantities to test c) In 1999 the companies entered into negotiation to produce large quantites d) Styberg needed eaton to commit to a certain number of brakes e) On July 8, 1999 Styberg asked Eaton to commit to 60,000 brakes but was not accepted f) Negotiaton continued g) After Eaton began paying for units as they went but ended abruptly 2) History a) Parties i) E.C. Styberg (1) Plaintiff ii) Eaton Corp. (1) Plaintiff b) Claims i) Styberg claims that Eaton breached a contract they agreed to ii) Eaton claims they never agreed to a contract and purchased as needed c) Procedural History i) Styberg sues defendant ii) Trial court rules in favor of Eaton iii) Styberg appeals 3) Issues a) Was a contract formed between Styberg and Eaton? i) Holding: negotiation that are on-going cannot be the basis for a contract but are just on going negotiations ii) Application: Evidence shows that neither side agreed to a definite deal. Even if they did agree on the July 8th contract. Styberg rejected the deal when he countered for more commitment. 4) Judgment: Affirmed