Asked by Amjad Alsrya on Jul 18, 2024
Verified
Under a contract with Fresh Farm LLC for a delivery of vegetables, Growers Mart refuses to pay for some of the produce. The buyer contends that the practice in the trade with respect to payment for spoiled produce justifies its refusal to pay. Growers Mart is arguing that the court should take into account
A) course of dealing.
B) course of performance.
C) usage of trade.
D) none of the choices.
Usage of Trade
Established practices and patterns of behavior commonly observed and accepted in a particular industry.
Growers Mart
A marketplace or exchange platform dedicated to the sale and purchase of agricultural products directly from farmers.
Fresh Farm LLC
A company likely involved in agriculture, specifically in producing and possibly selling fresh farm products.
- Understand the significance of performance history, prior dealings, and trade customs in the interpretation of contracts according to the Uniform Commercial Code.
Verified Answer
SS
SERGIO SANCHEZJul 23, 2024
Final Answer :
C
Explanation :
Usage of trade refers to any practice or method of dealing having such regularity of observance in a place, vocation, or trade as to justify an expectation that it will be observed with respect to the transaction in question. Growers Mart's argument that the court should consider the trade's customary practices regarding payment for spoiled produce aligns with the concept of "usage of trade."
Learning Objectives
- Understand the significance of performance history, prior dealings, and trade customs in the interpretation of contracts according to the Uniform Commercial Code.