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

Lewis Electric (P) and Miller (D) contracted for electrical services at two different locations. A dispute arose primarily over the number of light fixtures to be installed and the foot-candles the fixtures would provide. P and D attempted to resolve their dispute. As a result of these efforts, P deducted a small amount from the remaining balance on the contract price for work it conceded it did not do, bringing the amount it claimed under the contract to $18,871.64. Eventually, P brought a breach-of-contract action seeking payment of $4,164.53 for the services performed at the Sioux City store and $18,871.64 for services rendered at the Le Mars store. D counterclaimed and asserted that no money was owed on the Le Mars account because P's work was defective. D did not dispute the work or amount owed with regard to the Sioux City store. The court found that P had not breached the Le Mars contract. It reduced P's damages from $18,871.64 to $16,927.50 to reflect additional work the court found P had not performed. The court also entered judgment in favor of P on the Sioux City account in the sum of $4,164.53. D appealed, and the court reversed the judgment for P with regard to the work performed at the Le Mars store as well as the district court's denial of D's counterclaim and remanded for a resolution of D’s counterclaim. P appealed.

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