Morgan L.Lucid and Mary J. Lucid - Page 6

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               enthused.  For our part, we will plan on showing the                   
               boat in Stamford [Connecticut] and Annapolis [Maryland]                
               in late summer and early fall of 1987.  We would                       
               appreciate any help you can provide in improving our                   
               skills of showing a boat, obtaining space at the shows,                
               etc.                                                                   
               On December 30, 1986, petitioner husband noted that a                  
          contract with Kanter Yachts had been signed on August 21, 1986.             
          The notes further stated:                                                   
               The officers of Lucid Cruising met with the Kanters on                 
               August 9th and came to an agreement that Lucid Cruising                
               would be the representative of Kanter Yachts on the                    
               West coast.  Mr. Kanter promised that he would be on                   
               hand for the first show on the West Coast.  He will pay                
               for the registration at this show.  In turn this                       
               company will receive 5 % of the cost of every yacht                    
               sold as a result of our showing the yacht.  The 5 %                    
               will cover both the cost of the yacht and the extra                    
               equipment on it.                                                       
               Beginning in 1987, petitioners were becoming dissatisfied              
          with Kanter Yacht's handling of the contract to build Brendan.              
          In February 1987, Kanter Yachts was behind schedule in                      
          constructing Brendan, and petitioners visited Kanter Yacht's                
          Canadian factory during February, April, June, and July 1987 in             
          order to verify the quality of workmanship and to ensure that the           
          yacht was being built according to the specifications.  Each                
          factory visit was followed by a letter by petitioners,                      
          summarizing the results of their visit and providing                        
          specifications on how they wanted the Brendan to be built.                  
          During that time, relations between petitioners and the owner of            
          Kanter Yachts deteriorated to the point that the parties were not           
          speaking to each other.                                                     



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