Law School Case Briefs

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Threadgill v. PEABODY COAL COMPANY

Colorado Court of Appeals (1974) | 526 P.2d 676; 34 Colo. App. 203

3 min read

TL;DR: A contractor sued a drilling company for equipment lost in a hole. The court found a trade usage made the driller liable but held this usage could not excuse the contractor's own potential negligence, as that would violate public policy.

Legal Significance: Establishes that while trade usage can supply a missing term in a contract, it cannot create an implied term that violates public policy, such as indemnifying a party against its own negligence.