Beyond Trade Usage and the Hypothetical Intent Test

This tutorial deals with cases of ambiguity (1) for which there is no trade usage, and (2) which cannot be resolved by an application of the hypothetical intent test. Consider the following hypothetical.

Chickens R Us, a poultry wholesaler, contracts with Chicken Shack, Inc. to supply chickens to Chicken Shack's franchises.

The contract provides for the sale of a certain quantity of "chickens" at a certain price. Chickens R Us provides two kinds of chickens: tender, young chickens (more expensive--for frying, roasting, broiling), and tough, old chickens (cheaper--for boiling).

Assume there is no relevant trade usage in regard to "chicken."