Owens v. Clow Corporation, 73-2377.

Decision Date15 March 1974
Docket NumberNo. 73-2377.,73-2377.
Citation491 F.2d 101
PartiesGeorge H. OWENS, Sr., doing business as American Contractors, Plaintiff-Appellee-Cross Appellant, v. CLOW CORPORATION et al., Defendants-Appellants-Cross Appellees.
CourtU.S. Court of Appeals — Fifth Circuit

Allen Poppleton, William M. Warren, Jr., Birmingham, Ala., for defendants-appellants.

Harry Cole, Montgomery, Ala., for plaintiff-appellee.

Before BROWN, Chief Judge, and GODBOLD and SIMPSON, Circuit Judges.

GODBOLD, Circuit Judge:

Plaintiff Owens and others bid on the job of installing a plastic pipe water system for a small Alabama community. Several bidders including Owens received from defendant Clow written proposals to supply for the job the 143,500 feet of 6" pipe and 103,000 feet of 3" pipe that appeared to be required. Owens was low bidder and orally ordered from Clow for the job pipe of these two sizes. Clow sent Owens an invoice setting out the above quantities, and the prices, for the two sizes of pipe. Neither the proposal nor the invoice prescribed times for delivery. According to the testimony of Owens, in the telephone conversation in which he ordered the pipe it was agreed that Clow would deliver a truck load of pipe a day.

Clow satisfactorily delivered the 3" pipe as agreed but fell behind in delivering the 6" pipe in the manner described by Owens as having been orally agreed upon. Owens fell behind on the job and suffered delay-associated damages. Ultimately he terminated his arrangement with Clow and obtained pipe elsewhere at a higher price. Additionally, during the course of the job change orders were issued requiring Owens to lay more pipe of both sizes than the amounts specifically listed in Clow's proposal.

Owens sued Clow and in a jury trial the jury found the issues in favor of Owens.1

The major point on appeal arises from Clow's insistence that under the Uniform Commercial Code as adopted in Alabama, Tit. 7A, Code of Alabama (Recompiled), the written documents — the proposal and Clow's confirming invoice — created a contract enforceable only to the extent it had been performed by the parties, because the documents did not cover terms of delivery and delivery could not be the subject of a supplementary oral agreement. Tit. 7A, § 2-201(1) provides:

Except as otherwise provided in this section a contract for the sale of goods for the price of $500 or more is not enforceable by way of action or defense unless there is some writing sufficient to indicate that a contract for sale has been made between the parties and signed by the party against whom enforcement is sought or by his authorized agent or broker. A writing is not insufficient because it omits or incorrectly states a term agreed upon but the contract is not enforceable under this paragraph beyond the quantity of goods shown in such writing.

The Official Comment to § 2-201 says:

The changed phraseology of this section is intended to make it clear that:
1. The required writing need not contain all the material terms of the contract and such material terms as are stated need not be precisely stated. All that is required is that the writing afford a basis for believing that the offered oral evidence rests on a real transaction. It may be written in lead pencil on a scratch pad. It need not indicate which party is the buyer and which the seller. The only term which must appear is the quantity term which need not be accurately stated but recovery is limited to the amount stated. The price, time and place of payment or delivery, the general quality of the goods, or any particular warranties may all be omitted.
* * * * * *
Only three definite and invariable requirements as to the memorandum are made by this subsection. First, it must evidence a contract for the sale of goods; second, it must be "signed", a word which includes any authentication which identifies the party to be charged; and third, it must specify a quantity.

It is implicit in Tit. 7A, § 2-309 that agreement concerning time of delivery is not a condition precedent to the existence of an enforceable contract. That section provides in pertinent part:

(1) The time for shipment or delivery or any other action under a contract if not provided in this article or agreed upon shall be a reasonable time.

The Official Comment states:

1. Subsection (1) requires that all actions taken under a sales contract must be taken within a reasonable time where no time has
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5 cases
  • Ott v. Fox
    • United States
    • Alabama Supreme Court
    • 28 Julio 1978
    ...allegedly converted personalty. Thus, point "(2)" mentioned above must be considered waived. Rule 50(a), ARCP. Accord, Owens v. Clow Corp., 491 F.2d 101 (5th Cir. 1974); and Crum v. McGhee, 289 Ala. 244, 266 So.2d 855 (1972). As will be shown, because there was evidence of conversion and wr......
  • Riegel Fiber Corp. v. Anderson Gin Co.
    • United States
    • U.S. Court of Appeals — Fifth Circuit
    • 9 Mayo 1975
    ...Ga. 183, 205 S.E.2d 847 (1974). See also Port City Construction Co., Inc. v. Henderson, supra, 266 So.2d at 900; Owens v. Clow Corp., 5th Cir. 1974, 491 F.2d 101, 103 n.2 (applying Alabama law).14 Riegel points out that simply by multiplying the number of acres stated in the contracts times......
  • Transammonia Export Corp. v. Conserv, Inc.
    • United States
    • U.S. Court of Appeals — Fifth Circuit
    • 23 Junio 1977
    ...dispute whether any delay in cover purchases was reasonable as required by section 672.2-712(1). As this Court said in Owens v. Clow Corp., 5 Cir. 1974, 491 F.2d 101, 104, whether a plaintiff has made his cover purchases in a reasonable manner poses a "classic jury issue". If the jury had d......
  • Lambert Corp. v. Evans
    • United States
    • U.S. Court of Appeals — Seventh Circuit
    • 20 Abril 1978
    ...Carpets,supra; Allen v. Wolf River Lumber Co., 169 Wis. 253, 172 N.W. 158 (1919); V'Soske v. Barwick, supra at 500; Owens v. Clow Corporation, 491 F.2d 101 (5th Cir. 1974). The district court's finding that the parties agreed to contract knowing "what was for sale, the selling price, and th......
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