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Contracts Keyed to Kuney
Minnesota Linseed Oil Co. v. Collier White Lead Co.
Citation:17 F. Cas. 447 (1876).
Beginning on July 29, 1875, plaintiff and defendant entered negotiations via telegraph for the sale of linseed oil. The market for linseed oil was very volatile and prices varied daily, ranging between 55 cents and 75 cents per gallon. On July 30, 1875, defendant requested three hundred barrels of oil for 55 cents per gallon. On July 31, 1875, plaintiff replied that it would accept 58 cents per gallon. The telegraph was transmitted at 9:15 p.m., but was not delivered to defendants until Monday, August 2 between 8:00 a.m. and 9:00 a.m. On August 3, at 8:53 a.m. the defendants responded accepting the offer to ship 300 barrels for 58 cents per gallon. Plaintiff also sent a wire on August 3 withdrawing the offer of July 31, to which defendant responded that the withdrawal was not received until after acceptance and requesting shipment.
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