1. A Commercial Dispute
When Hi-Speed receives the rims the Hi-Speed logo is not the quality they are expecting. Hi-Speed refuses to pay ABC and demands to return the rims for a refund. ABC refuses to accept the return and demands immediate payment of $100,000.
2. ABC Files a Complaint
The ABC lawyer then files a complaint in the district court—ABC Manufacturing Company (plaintiff) v. Hi-Speed Auto Supply (defendant). The complaint states ABC’s version of the facts, alleges that Hi-Speed has violated a contract by failing to pay for the rims, and requests that the court enter a judgment in favor of ABC against Hi-Speed for $100,000.
3. Hi-Speed Answers the Complaint
When Hi-Speed receives a copy of ABC’s complaint, it contacts its lawyer who reviews the complaint, the correspondence, and the rims with the faulty logos. Hi-Speed's lawyer then files an answer in court, denying that the rims were properly made and that ABC is entitled to be paid.
The answer states that Hi-Speed attempted to return the rims but was refused and alleges that ABC violated the contract. The answer asks the court to rule in favor of Hi-Speed Auto Supply—finding that it does not owe payment to ABC and requiring ABC to accept return of the rims.
4. Preparing for Trial
5. The Trial: Dispute Resolved
The judge or jury considers the evidence and the law and decides whether ABC or Hi-Speed violated the contract.