Opinion ID: 1790707
Heading Depth: 1
Heading Rank: 4

Heading: Evidence of Custom and Usage

Text: In explaining the reasons for his decision to direct a verdict for Martin, the trial court said: What in effect has happened is, the Court has ruled, by declining to accept those witnesses as being competent to testify, in effect that there is no such thing as a custom or usage in the trade concerning to [sic] forwarding contracts with reference to cotton.       Well I think that is set out very well in the latest case, which we have been discussing the last day or two, that you only come into the question of concerning custom and usage, it only becomes applicable where there is an ambiguity in the contract, and in this contract, quite frankly, to me it's pretty plain outside of the evidence, but be that as it may, I think that the defendants haven't been able to establish by any proof, and I think, actually, their offer of proof has been quite to the contrary, that there is no such thing as a custom and usage in forwarding contracts as pertains to commodity of cotton, because that was a short lived thing in this state and in this area. I mean, that is something that is almost like mushrooms coming up and dying away forever and to never, never to come back. The latest case the trial judge was referring to in his colloquy was Jewell v. Jackson & Whitsitt Cotton Co., 294 Ala. 112, 313 So.2d 157 (1975), a case heard ore tenus. In Jewell this court said, It is undisputed that this contract in 1973 was the first time Jewell had ever contracted or booked his cotton crop; he was not aware of any custom or usage relating to the contracting of a cotton crop; the first time he ever heard of it was when this case came up; he was not aware of any custom or usage when he signed the contract. We are unable to say Martin was as unknowledgable as Jewell apparently was. Otherwise, why would he say to Agnew, I am going to deliver you acres of land this year instead of acres of cotton. Evidence of custom and usage was admissible by virtue of U.C.C. § 2-202, Code of Ala., Tit. 7A, providing that confirmatory memoranda may be explained by course of dealing, or usage of trade. The Official Comment to U.C.C. § 2-202 says, 2. Paragraph (a) makes admissible evidence of . . . usage of trade. . . to explain or supplement the terms of any writing stating the agreement of the parties in order that the true understanding of the parties as to the agreement may be reached. Such writings are to be read on the assumption that the . . . usages of trade were taken for granted when the document was phrased. Unless carefully negated they have become an element of the meaning of the words used. Whether there was a custom and usage of trade was a question of fact for the jury to determine, under the present conditions. Cf. Official Comment to U.C.C. § 1-205, and Anderson's Uniform Commercial Code, § 1-205:6, p. 175. Reversed and remanded. MERRILL, MADDOX, JONES, SHORES and EMBRY, JJ., concur.