Fiterman v. J. N. Johnson & Co.

156 Minn. 201 · Supreme Court of Minnesota · 1923

Facts

Plaintiffs contracted to sell 325 tire casings to defendant. Defendant refused the remaining delivery, alleging false representations about quality after discovering defects post-sale and use by customers. Defendant sold 39, destroyed some defective returns, and offered to return 111, seeking a refund.

Issue

Can a buyer partially rescind a contract for defective goods when unable to return all items, and did the buyer waive their right to rescind by delaying notice of the defects?

Holding

The court affirmed, holding that the buyer could rescind the contract for the casings it could return, and did not waive this right, as the discovery of defects was delayed and notice was given within a reasonable time.

Rule

A buyer may rescind a contract for fraud or breach of warranty even if unable to return all goods, provided they act in good faith and can return the remaining items, with the seller refunding only for the returned goods. Waiver of rescission requires clear intent and reasonable notice.

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Case brief last reviewed 2026-04-02. Prepared by CaseReader from the published opinion.