PROCEDURAL HISTORY:
Phillip Eugene Wendling filed suit in Harvey District Court under the Uniform Commercial Code (UCC) to receive damages for a breach of an oral contract for the purchase of cattle. The court found in favor of the plaintiff, and the defendant filed an appeal with the State Supreme Court of Kansas.
FACTS:
In July of 1973 Phillip Eugene Wendling a famer met Ted Puls who was a cattle buyer for the Central Livestock Sale in Hutchinson KS. During this encounter Wendling indicated to Puls that he would potentially have some cattle for sale at around mid-august of that same year, to which Puls indicated he might be interested in purchasing the cattle and asked Wendling to ...view middle of the document...
After seeking legal counsel Wendling attempted to obtain a written release from Watson/Puls so that he could sale the cattle to someone else (ending his contractual obligation to Watson/Puls). On 29 August Wendling attempted to reach Watson/Puls at his counsel’s office in order to obtain the written release but was unable to find them. As a result Wendling served a written notice to Watson/Puls of the impending breach of contract if they did not comply with the terms of their agreement with Wendling. Wendling received no response from Watson/Puls and as result established the value of the herd under the terms of the contract at $50,533.50 but later sold the cattle for $39,978.49 and filed suit in state court for breach of contract.
Issues:
1. Under Kansas Law (84-2-708) is it acceptable for the seller to stipulate a delivery date (settlement of tender) for the completion of the transaction when the two parties are in dispute?
2. Under Kansas Law (84-2-718) is it acceptable for the plaintiff to claim games in excess of the $1000 down payment due to the customs and usage of the cattle trade?
Answer/Holding:
1. The Court found that Wendling’s actions in this case were indeed within the scope of Kansas state law. Wendling advised Puls/Watson that he was not able to freely sale the obligated heads of cattle until he had received a written document ending his contractual obligation to Puls/Watson. Watson/Puls did not appear at the agreed upon time to sign the necessary paperwork to free Wendling of his contractual...