ARA Services, Inc. (D) purchased school buses and bus routes from Keystone Bus Lines, Inc. (P) after D had been awarded a court-ordered school busing contract. The contract required D to pay $100,000 if D received minimum revenues for the next two years. D experienced difficulty in hiring drivers and could not meet demand; considerable business was lost. D did not meet the minimum revenue levels required to pay P the $100,000. P sued for breach; D had in bad faith caused computed revenues to drop by neglecting certain bus routes. At trial, P showed that D's mismanagement caused the loss of revenue. The court granted a directed verdict for D. P appealed.

This section contains the nature of the case and procedural background.

The legal issues presented in this case will be displayed here.

The court's holding and decision will be displayed here.

Legal analysis from Dean's Law Dictionary will be displayed here.