Summary

Portrait of Earl Warren Earl Warren Arnold v. Ben Kanowsky, Inc. — Opinion of the Court

These sales indisputably were made with the expectation that the parts would be incorporated in aircraft and that the aircraft would be sold. Such transactions are clearly within the concept of resale. [10]
Since respondent has not sustained its burden of proving that 75% of its annual sales volume is not for resale and is recognized as being retail in the particular industry, we need not reach the question whether the additional standards of § 13 (a) (4) itself are met. [11]
We hold that respondent has not satisfied the requirements of § 13 and is not entitled to exemption thereunder.
Source: Wikisource

Portrait of Earl Warren Earl Warren Arnold v. Ben Kanowsky, Inc. — Opinion of the Court

Respondent conducts an interior decorating and custom furniture business in Dallas, Texas. On the same premises he fabricates aircraft parts from phenolic, a cloth-impregnated phenol resin. This plastic is widely used in aircraft and automotive parts and can be machined on the woodworking equipment respondent has available in his furniture shop. Petitioner was employed by respondent from October 17, 1954, through September 2, 1955, primarily in the fabrication of phenolic parts.
Source: Wikisource

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