ID STATEIdaho Supreme Court
1991

G&M Farms v. Funk Irrigation Co.

808 P.2d 851Idaho Supreme Court • Decided 1991Remanded
FLAGSHIPBroad IndemnificationCited 172 times

HOLDING

G&M Farms purchased an irrigation system from Lindsay Manufacturing through distributor Funk Irrigation. A Lindsay representative told the farmer the system was suitable for his property, but it repeatedly malfunctioned during the 1985 season. The Idaho Supreme Court reversed the trial court's dismissal of the misrepresentation claims, ruling that genuine disputes exist about whether Lindsay failed to disclose known design defects and operational limits. This matters to subcontractors because it shows courts will allow cases to proceed when equipment suppliers make suitability claims without disclosing known limitations.

KEY FINDINGS

Broad Indemnification

Don't make suitability or capability claims about equipment or systems unless you've fully disclosed all known limitations and design constraints to the buyer.

FULL COURT OPINION