This section contains the nature of the case and procedural background.

Price (P) entered into a contract with McMichael (D) to deliver all the sand that P could sell for shipment to various, and sundry points in the U.S. D was to load all the sand in suitable railway cars for delivery to the initial carrier. D agreed to furnish the quantity and quality of sand at all and various times as P may designate by written or oral order and D also agreed to furnish and load the same within a reasonable period of time after the verbal orders were received. The contract also stipulated that D was to accept all the orders of P for all the sand that P could sell and P was obligated to give D all of its orders. The price of the sand was to be a sum per ton which represents sixty percent of the current market price per ton of concrete sand at the place of destination of said shipment. P was also to get terms of 4 cents per ton 10, net 30 days. The contract was to cover a ten-year period of time. Within a few months after the signing of the contract, trouble began with P disputing the amounts due and owing to D. P sued D and was awarded $7,512.51, which was reduced upon remittitur to $5,012.51. D appealed.

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