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Wastech, the Court
clarified the content of another doctrine flowing from the
organizing principle: the duty to exercise contractual discretion
in good faith. 
Background
Wastech involved a waste transportation company
(Wastech) and a corporation responsible for municipal waste
disposal (Metro). In 1996, Wastech and Metro entered into a
contract for waste disposal services that contemplated disposing
waste in three landfills, one of which was much farther away than
the others. The contract stated Metro had absolute
discretion in allocating the amount of waste to go to this
farther facility.
In 2011, Metro exercised this discretion by directing less waste
to go to the farther facility, causing Wastech to receive a lower ....

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