摘要: |
NOBODY ENTERS THIS world, or a contract, without a mother: There can be no agreement without a Meeting of the Minds (MOM). Parties' differing perceptions does not a contract make. MOM happens at congruent perceptions. Without a MOM, recovery of damages will be only enough to pay actual losses. Bar J Sand & Gravel, Inc. v. Fisher Sand & Gravel, Co., 310 F.Supp.3d 1215 (U.S. Dist. Ct, New Mexico, 2018). This story began when the plaintiff/seller acquired an exclusive right to excavate, remove, and sell aggregate earth products, remove asphalt, and to process materials on certain land in New Mexico. The seller entered into an Exclusive Supply Agreement (ESA) with the defendant/buyer. Per the ESA, the seller agreed only to sell materials to the buyer and the buyer agreed to purchase at least 400,000 tons of material annually. The initial five-year term of the ESA could be renewed for subsequent five-year periods. Renewal required written notification from the buyer to the seller at least 120 days before expiration of the current five-year period. In early 2012, the buyer informed the seller that it would not be able to purchase the annual minimum due to a downturn in the market. The buyer recalled the seller's reply that the price could not be reduced, but to simply "do your best" to purchase the minimum amount. From this, the buyer believed the seller had agreed to reduce the annual minimum amount. The seller would later not recall having said anything like this. |