Merchant abandons cabbage deal, then sues farmer; court orders merchant to pay farmer over 810,000 yuan

A merchant who abandoned a contract to purchase a large quantity of cabbage has been ordered to pay the farmer over 810,000 yuan in outstanding payment, after a court found the merchant had effectively nullified the agreement. The dispute originated when a merchant, identified only as Mr. Pan, contracted to buy approximately 600,000 kilograms of cabbage from a farmer, Ms. Yu, for 2.3 million yuan in April 2023. An initial deposit of 800,000 yuan was paid.

Following two initial harvests, the cabbage quality was affected by cold weather, leading the farmer to agree to a price reduction of 400,000 yuan, bringing the total contract value to 1.9 million yuan. However, market prices for cabbage then plummeted, making further harvesting and transportation financially unviable for the merchant. The merchant's agent reportedly informed a pesticide supplier that the "cabbage was no longer needed" and told a transport company that harvesting would be unprofitable, instructing them to inform the farmer to "prepare the land for cultivation."

To prevent the remaining cabbage from rotting and potentially harming neighboring crops, the farmer hired workers to harvest and sell what she could, managing to sell over 280,000 yuan worth of the produce. The merchant subsequently sued the farmer for 3.05 million yuan, alleging she had improperly harvested and sold the remaining cabbage, thus depriving him of resale profits.

During the trial, witnesses from the transport and pesticide companies testified that the merchant's agent had indeed stated they would not proceed with the harvest. The judge ruled that the merchant's explicit declaration of abandonment released the farmer from her obligation to deliver the remaining cabbage. The court found the merchant's claim baseless, as he had voluntarily withdrawn from the contract due to fear of financial loss. Consequently, the merchant was ordered to pay the remaining balance of 1.1 million yuan, less the 283,160 yuan the farmer had already recovered from selling the produce, resulting in a payment of 816,840 yuan plus interest to the farmer.