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PRINCESS CRUISES, INC. v. GENERAL ELEC. CO.

United States Court of Appeals, Fourth Circuit (1998) | 143 F.3d 828

4 min read

TL;DR: In a dispute over a ship repair contract, the court found the agreement was primarily for services, not goods. Therefore, common law's "mirror image rule" applied, making the service provider's final price quote a counteroffer that the cruise line accepted by performance, including its liability limitations.

Legal Significance: This case demonstrates the critical importance of the "predominant purpose test" in distinguishing between contracts for goods (governed by the UCC) and services (governed by common law), which determines whether UCC § 2-207 or the common law's mirror image rule controls contract formation.