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Gold Kist, Inc. v. Carr

Court of Appeals of Texas
886 S.W.2d 425 (1994)


Facts

In August 1986, Edward C. Carr (plaintiff) began negotiating for the purchase of trucks and hauling equipment from Gold Kist, Inc. (Gold Kist) (defendant). The initial agreement between the parties provided that Carr would have the exclusive right to haul peanuts for Gold Kist in Texas. However, Gold Kist’s corporate office objected to granting Carr exclusive hauling rights. The parties thereafter entered a written agreement providing that Gold Kist was under no obligation to engage Carr to haul peanuts. Before signing the contract, Carr questioned this provision. A Gold Kist manager explained that it meant Gold Kist would not use Carr’s hauling services if he failed to meet Gold Kist’s expectations. Carr signed the contract upon receiving this explanation. Carr later brought suit for breach of contract, arguing he was entitled to exclusive hauling rights. The trial court found in favor of Carr.

Rule of Law

Issue

Holding and Reasoning (McCloud, C.J.)

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