Jannusch Case Brief

In: Business and Management

Submitted By maurinlp
Words 900
Pages 4
Case: Jannusch v. Naffziger, 379 Ill.App.3d 381,883 N.E.2d 711(4th Dist. 2008)

FACTS:
Plaintiffs Gene and Martha Jannusch operated Festival Foods, a business serving concessions to the general public at festivals and events in Illinois and Indiana. The business operated annually from late April to late October. Along with concessions, the business included assets of a truck, serving trailer and food preparation and serving equipment. In 2005, Defendants Lindsey and Louann Naffziger expressed interest in purchasing the business from Plaintiffs, having met with Plaintiffs and observed the business in operation. It was testified by Gene Jannusch that on August 13, 2005, the parties entered into an oral agreement to see Festival Foods to the Defendants for the amount of $150,000 to which the Defendants would receive the truck, trailer and all equipment, including the opportunity to work at locations which had been secured by the Plaintiffs. Defendants paid Plaintiffs $10,000 up front with the balance to be paid when Defendants received loan funds from the bank. While awaiting the loan’s approval and having given the Plaintiffs a downpayment, Defendants took possession of the business and operated it for the remainder of the 2005 season. Titles to the truck and trailer remained in Gene Jannusch’s name until he received the full purchase price from Defendants.

Louann Naffziger acknowledged that an oral agreement was made to purchase the business but also testified that she could not recall the specific date of the agreement. Gene Jannusch suggested that the parties put the agreement in writing, however, Defendants responded that they were “in no position to sign anything” without having received the loan money and did not have an attorney. Eventually, Defendants did speak to an attorney and the loan was approved. Lindsey acknowledged that she and Louann…...

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