Opinion ID: 484963
Heading Depth: 2
Heading Rank: 1

Heading: Lar's Claims Against Control

Text: 17 In analyzing the conflicting contract claims between Control and Lar, the district court first sought to settle the battle of the forms issue of what constituted the contract between the parties; specifically, whether the delivery terms contained in Lar's purchase order controlled over the silence on delivery terms in Control's subsequent order acknowledgement. The court held that Control's order acknowledgement, expressly providing that its terms would govern the contract between the parties, controlled over Lar's purchase order. As Control's acknowledgement was silent concerning delivery dates, the district court found determinative the reasonable time of delivery assumed by Mississippi law in such circumstances. The court concluded that Control performed within a reasonable period and thus was not in breach. 18 Determination of a contract's terms is a question of law that this Court reviews de novo. See Texas Commerce Bank v. National Royalty Corp., 799 F.2d 1081 (5th Cir.1986). The district court erred in its interpretation of Control's order acknowledgement. Rather than mandating that its terms control in every situation, Control's acknowledgement actually provides as follows: 19 ... our acceptance of [your order] is expressly conditional on your assent to the inclusion in the contract of the GENERAL PROVISIONS ON THE REVERSE SIDE, which shall control in case your order does not treat these subjects, or in case of conflict with the provisions of your order. 20 [Emphasis added]. The acknowledgement intended that its terms would control in case of conflicting provisions and where Lar's purchase order was silent, but in so doing it incorporated those provisions of Lar's purchase order that were not in conflict. It was undisputed that Control's acknowledgement was silent as to delivery times, but that Lar's purchase order contained the following regarding delivery: 21 Upon approval submittal date [sic] of Lar Electric Inc. shall provide Control System Inc. and Gregory-Salsbury & Co., Inc. with a written release for manufacture and shipment to the jobsite. Delivery shall be between 14 weeks, but no more than 20 weeks, from date of release. Packaging and mode of transportation is to be coordinated with project manager to facilitate least prospect of damages and ease in unloading. If delivery is made more than 30 days after the established delivery period and said late delivery results in a delay in the job and liquidated damages being assessed against Lar Electric Inc. said damages shall be deducted from any amounts owing under this purchase order.... 22 Thus, the contract between the parties was not, as the district court held, solely the terms and silences of Control's order acknowledgement--it was composed of the acknowledgement and those nonconflicting terms or Lar's purchase order. As Lar's delivery terms are not in conflict with those of the acknowledgement, they are part of the contract and control in this case. 7 We therefore remand to the district court for further findings on performance and breach under the Lar-Control contract.