Apollo Hair Systems of Nashville v. First Lady International Corporation, d/b/a New Image

This case involves a contract dispute between a retail seller and manufacturer of hair replacement products. The parties entered into an exclusive dealing contract, whereby the manufacturer agreed to sell four models of hair replacement units exclusively to the retailer within a geographically defined area of Tennessee. In return, the retailer agreed to purchase all hair replacement units from themanufacturer and paya $10.00 premium for the units purchased. The manufacturer subsequently sold hair replacement units to a competitor of the retailer in Tennessee. The retailer filed a complaint against the manufacturer for inducement of breach of contract, pursuant to section 47-50-109 of the Tennessee Code, and breach of contract. The manufacturer moved for summary judgment, and the trial court granted the motion as to both causes of action alleged in the complaint.  We affirm.