Atalanta Corp. v. Ohio Valley Provision Co.

The majority concludes that the letter supplied by Buyer’s bank (“the May 8 letter”) was so ambiguous that Seller was under no obligation to accept it as a bank guaranty.1 I disagree.

In January, 1974, Buyer agreed to purchase meat from Seller for a price of $19,000. In response to Seller’s request for a bank guaranty covering the transaction, Buyer’s bank sent Seller a letter on February 20, 1974 (“the February 20 letter”).2 Buyer’s bank thereafter orally confirmed to Seller that its letter was in fact a guaranty. The meat was delivered to Buyer on March 20, 1974 and paid for six days later.

On…