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Step-Savor (P) sued Wyse (D) over computer terminals it purchased from D. D produced evidence at trial that D had shipped over 1 million units since the introduction of the Wyse-60 terminal in 1986. P bought the terminals to be used in its multi-user system, and its employees had even evaluated that unit and units from other manufacturers. P eventually found a defect that made the terminal incompatible with certain software programs which included Multi-Link, Advanced, Benchmark, and WordPerfect. P presented no evidence that compatibility with these programs was a criterion of merchantability according to the usage of the computer terminal trade. The trial judge refused to instruct the jury on implied warranty of merchantability. P lost and appealed.

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