Business Law Essay Paper Help

Write responses to the following end-of-chapter questions. The ideal answers will identify the applicable issue, propose a solution, and state a justification.

End-of-Chapter Questions:

1. Chapter 14.2
2. Chapter 16.8
3. Chapter 18.2
4. Chapter 20.3

Your responses should be well-rounded and analytical, and should not just provide a conclusion or an opinion without explaining the reason for the choice. For full credit, you need to use the material from the week’s lectures, text, and/or discussions when responding to the questions. It is important that you incorporate the question into your response (i.e., restate the question in your introduction) and explain the legal principle(s) or concept(s) from the text that underlies yo

ur judgment. For each question (and each component, if there are multiple sections of one question), you should provide at least one reference in APA format (in-text citations and references as described in detail in the Syllabus).

 

14.2

Real Property Robert Briggs and his wife purchased a home located at 167 Lower Orchard Drive, Levittown, Pennsylvania. They made a down payment and borrowed the balance on a 30-year mortgage. Six years later, when Mr. and Mrs. Briggs were behind on their mortgage payments, they entered into an oral contract to sell the house to Winfield and Emma Sackett if the Sacketts would pay the three months’ arrearages on the loan and agree to make the future payments on the mortgage. Mrs. Briggs and Mrs. Sackett were sisters. The Sacketts paid the arrearages, moved into the house, and continued to live there. Fifteen years later, Robert Briggs filed an action to void the oral contract as in violation of the Statute of Frauds and evict the Sacketts from the house. Who wins? Briggs v. Sackett, 275 Pa. Super. 13, 418 A.2d 586, Web 1980 Pa.Super. Lexis 2034 (Superior Court of Pennsylvania)

 

16.8

Specific Performance Liz Claiborne, Inc. (Claiborne), is a large maker of sportswear in the United States and a wellknown name in fashion, with sales of over $1 billion per year. Claiborne distributes its products through 9,000 retail outlets in the United States. Avon Products, Inc. (Avon), is a major producer of fragrances, toiletries, and cosmetics, with annual sales of more than $3 billion per year. Claiborne, which desired to promote its well-known name on perfumes and cosmetics, entered into a joint venture with Avon whereby Claiborne would make available its names, trademarks, and marketing experience and Avon would engage in the procurement and manufacture of the fragrances, toiletries, and cosmetics. The parties would equally share the financial requirements of the joint venture. During its first year of operation, the joint venture had sales of more than $16 million. In the second year, sales increased to $26 million, making it one of the fastest-growing fragrance and cosmetic lines in the country. One year later, Avon sought to “uncouple” the joint venture. Avon thereafter refused to procure and manufacture the line of fragrances and cosmetics for the joint venture. When Claiborne could not obtain the necessary fragrances and cosmetics from any other source for the fall/Christmas season, Claiborne sued Avon for breach of contract, seeking specific performance of the contract by Avon. Is specific performance an appropriate remedy in this case? Liz Claiborne, Inc. v. Avon Products, Inc., 141 A.D.2d 329, 530 N.Y.S.2d 425, Web 1988 N.Y.App. Div. Lexis 6423 (Supreme Court of New York)

18.2

Good or Service Mr. Gulash lived in Shelton, Connecticut. He wanted an above-ground swimming pool installed in his backyard. Gulash contacted Stylarama, Inc. (Stylarama), a company specializing in the sale and construction of pools. The two parties entered into a contract that called for Stylarama to “furnish all labor and materials to construct a Wavecrest brand pool, and furnish and install a pool with vinyl liners.” The total cost for materials and labor was $3,690. There was no breakdown in the contract of costs between labor and materials. After the pool was installed, its sides began bowing out, the 2” × 4” wooden supports for the pool rotted and misaligned, and the entire pool became tilted. Gulash brought suit, alleging that Stylarama had violated several provisions of Article 2 of the UCC. Is this transaction one involving goods, making it subject to Article 2? Gulash v. Stylarama, 33 Conn.Supp. 108, 364 A.2d 1221, Web 1975 Conn.Super. Lexis 209 (Superior Court of Connecticut)

20.3

Revocation of Acceptance Roy E. Farrar Produce Company (Farrar) was a packer and shipper of tomatoes in Rio Arribon County, New Mexico. Farrar contacted Wilson, an agent and salesman for International Paper Company (International), and ordered 21,500 tomato boxes for $0.64 per box. The boxes were to each hold between 20 and 30 pounds of tomatoes for shipping. When the boxes arrived at Farrar’s plant, 3,624 of them were immediately used to pack tomatoes. When the boxes were stacked, they began to collapse and crush the tomatoes contained within them. The produce company was forced to repackage the tomatoes and store the unused tomato boxes. Farrar contacted International and informed it that it no longer wanted the boxes because they could not perform as promised. International claimed that Farrar had accepted the packages and must pay for them. Who wins?

Take a look at problem 14.3 and use that as a basis for your discussions. Who should win in this case? We learned that the Statute of Frauds and Article 2 of the UCC require that certain types of contracts must be in writing. Examples include: Contracts involving the sale of land; Contracts that by their own terms cannot be performed within one year; Contracts in which a person asks to answer for the debt of of another; and Contracts for sale of goods over $500. Stating the rules is easier than applying them. Take a look at Case 14.3. Can Ohanian sue Avis for breach of an oral employment contract? Or can Avis defeat this claim by invoking the Statute of Frauds?   CLASS: Have you ever seen the real Statute of Frauds from 1677 in England? http://www.statutelaw.gov.uk/content.aspx?activeTextDocId=1518462

14.3

One-Year Contract Robert S. Ohanian was vice president of sales for the West Region of Avis Rent a Car System, Inc. (Avis). Officers of Avis testified that Ohanian’s performance in the West Region was excellent, and, in a depressed economic period, Ohanian’s West Region stood out as the one region that was growing and profitable. In the fall of 1980, when Avis’s Northeast Region was doing badly, the president of Avis asked Ohanian to take over that region. Ohanian was reluctant to do so because he and his family liked living in San Francisco, and he had developed a good team in the West Region, was secure in his position, and feared the politics of the Northeast Region. Ohanian agreed to the transfer only after the general manager of Avis orally told him “unless you screw up badly, there is no way you are going to get fired— you will never get hurt here in this company.” Ohanian did a commendable job in the Northeast Region. Approximately one year later, at the age of 47, Ohanian was fired without cause by Avis. Ohanian sued Avis for breach of the oral lifetime contract. Avis asserted the Statute of Frauds against this claim. Who wins? Ohanian v. Avis Rent a Car System, Inc., 779 F.2d 101, Web 1985 U.S. App. Lexis 25456 (United States Court of Appeals for the Second Circuit)

A buyer who has accepted goods may subsequently revoke his or her acceptance if (1) the good are non-conforming, (2) the non-conformity substantially impairs the value of goods to the buyer, and (3) one of the following factors is shown:

• Seller’s promise to promptly cure of the nonconformity is not met,
• Goods were accepted before non-conformity was discovered and non-conformity was difficult to discover, or
• Goods were accepted before non-conformity was discovered and seller assured buyer that the goods were conforming.

The seller’s opportunity to cure nonconforming goods is an important provision of the UCC. I think real world examples are particularly helpful in understanding the nuances of these types of discussions. Take a look at Case 20.11 on page 298-299 of the text. What do you think about this case? Using this case as an example, why do you think the law recognizes the right to cure a defective tender of goods? Are there reasons for this provision, or do you think a seller who tenders nonconforming goods should immediately be considered in breach of contract?

20.11

Business Ethics Ruby and Carmen Ybarra purchased a new double-wide mobile home from Modern Trailer Sales, Inc. (Modern). Modern delivered the mobile home to the Ybarras. A few days after delivery, portions of the floor began to rise and bubble, creating an unsightly and troublesome situation for the Ybarras. The Ybarras complained to Modern about the floor as soon as they discovered the defects. Modern sent repairmen to cure the defective floor on at least three occasions, but each time they were unsuccessful. The Ybarras continued to complain about the defects. The Ybarras continued to rely on Modern’s assurances that it was able and willing to repair the floor. After four years of complaints, the Ybarras sued to revoke their acceptance of the sales contract. Did the Ybarras properly revoke their acceptance of the sales contract? Did Modern act ethically in this case? Did the Ybarras?

 

 

 

 

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