California & Hawaiian Sugar Refining Corp. v. Mason By-Products Co.

This was an action to recover the purchase price of a quantity of molasses. Under date of December 8, 1925, the plaintiff addressed a letter to the defendant stating: “In confirmation of conference with you on December 5, 1925, we are willing to enter into negotiations to contract with you for Hawaiian plantation feed molasses on approximately the following bases, detailed contract to be submitted to you after you have decided upon the basis you desire.” Then followed three separate and distinct propositions. The first covered a period of three years, from December 1, 1925, to November 30, 1928; the second, a period of one year, from December 1, 1925, to November 30, 1926; and the third, a period of two years, from December 1, 1926, to November 30, 1928. The second proposition provided for the sale of 30,000 tons, of 2,000 pounds each, at a price of $9 per ton, delivered to the barge of the purchaser alongside the distributing plant of the vendor at Crockett, California. The price stated was subject to additions and deductions for molasses containing more or less than 45 per cent, combined sucrose and reducing sugars. Deliveries were to be made upon 30 days’ notice, but the vendor…