Heggblade-Marguleas-Tenneco, Inc. v. Sunshine Biscuit, Inc

In Heggblade-Marguleas-Tenneco, Inc. v. Sunshine Biscuit, Inc. (1976) 59 Cal.App.3d 948, contracts for the purchase of potatoes were in issue. Sunshine Biscuit had contracted to purchase 100,000 sacks of potatoes from HMT and HMT undertook to plant the potatoes. By the time the potatoes were grown, Sunshine Biscuit's requirements had declined and it needed only 60,000 sacks. HMT sued for damages. At trial Sunshine Biscuit offered testimony as to the custom and usage of the potato processing industry to the effect that the quantity specified in such contracts were only estimates and that Sunshine Biscuit was not obligated to purchase more than its actual requirements. The court stated: "Appellant contends that the quantity terms in the contracts are definite and unambiguous, hence it was error to admit into evidence the custom of the processing potato industry that the amounts specified are reasonable estimates. Appellant's contention is without merit." ( Id., at p. 954.)