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MTR. OF GRANITE WORSTED MILLS (COWEN)

25 N.Y.2d 451 (1969)

In the Matter of the Arbitration between Granite Worsted Mills, Inc., Appellant, and Aaronson Cowen, Ltd., Respondent. In the Matter of the Arbitration between I. Aaronson, Ltd., Respondent, and Granite Worsted Mills, Inc., Appellant.

Court of Appeals of the State of New York.

Decided December 4, 1969.

Attorney(s) appearing for the Case

Marvin H. Cohen for appellant.

Copal Mintz and Morris Shapiro for respondent.

Judges SCILEPPI, BERGAN and GIBSON concur with Judge BURKE; Judge BREITEL dissents and votes to affirm in a separate opinion in which Chief Judge FULD and Judge JASEN concur.

BURKE, J.

Granite Worsted Mills, Inc. ("Seller") made two sales of certain cloth goods to Aaronson Cowen, Ltd. ("Buyer") to be used in the manufacture of sport coats. In each case, sales agreements were employed which included broad arbitration clauses and clauses which limited the buyer's damages for defective goods. Paragraph 12 of each of the sales agreements contained the following language: "ARBITRATION...

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