Common Law of Contracts
Order Instructions:
Assignment requested deadline October 15NLT 8pm. Please read below for information concerning assignment. Support responses with examples and use APA formatting in the paper. You may access the school’s website by logging into:
https://mycampus.southuniversity.edu/portal/server.pt
Please note that when you log into the website you must click launch class, and on the next screen click syllabus to view this week’s readings (week 2) and Academic Resources to access the school’s library.
Case Study 2
Danny was looking for a birthday gift for his father, Frank. Frank loved cigars; however, Danny was a nonsmoker. While Danny was looking around the Butt Hutt, a local cigarette and cigar store, the owner suggest Danny try a new cigar, imported from Jamaica. The owner stated that the new cigar is just like Cuban cigars. After some hesitancy, Danny lit one up. The cigar had a surprisingly aromatic smell and took seven or eight minutes to consume. Danny purchased a box of the cigars and gave them to his father on his birthday. When Frank smoked one of the cigars, it gave off a bitter obnoxious smell and was consumed in less than four minutes. When Danny saw this, he was upset and asked his father to try another cigar. The same situation was repeated with offensive smell and the cigar burning down very quickly like a cigarette.
After Danny tried unsuccessfully to return the cigars for a refund, he filed a small claims court action against the Butt Hutt. The case was based on the failure of the purchased cigars to conform to the sample, breach of the implied warranty of merchantability, and the misleading statement “just like the Cuban cigars.” Discuss the probable outcome of the case using the Common Law of Contracts and/or the UCC to support your decision.
Case Study 3
Jefferson and Marcy Darcy contracted to purchase one 85” television from Bundy Electronics, a large retailer for appliances and electronics. Bundy agreed to deliver the television to Darcy’s home. On the way to Darcy’s house, the delivery truck, subcontracted by Bundy, was hit by another truck and all of the contents were destroyed. Who bears the risk of loss? What is the status of the contract? What if there is no visible damage to the television when it is delivered to Darcy’s? Please be sure to answer thoroughly and completely, citing to the appropriate UCC provision(s) to support your response.
Support responses with examples and use APA formatting in the paper. Submit your document to the W2 Assignment 2 Dropbox by Saturday, October 15, 2016.
Assignment 2 Grading Criteria Maximum Points
Answered one case study, analyzing the facts and provided well-reasoned answers that reflect an understanding of course material. Supported the response with appropriate cases, laws and/or other relevant examples. 20
Answered a second case study, analyzing the facts and provided well-reasoned answers that reflect an understanding of course material. Supported the response with appropriate cases, laws and/or other relevant examples. 20
Used correct spelling, grammar, punctuation and professional vocabulary. 5
Presented the paper in APA format and properly cited sources using APA. 5
Total: 50
SAMPLE ANSWER
Common Law of Contracts
Case Study 1
The uniform commercial code (UCC) refers to one of the many regulations that have been formulated in a bid to harmonize the sales processes and commercial transactions throughout the United States (Klass, 2010). All the 50 states in the nation, the District of Columbia and all the US territories have adopted this law. While searching for a gift for his father’s birthday, Danny ventured into the Butt Hutt, a cigar shop, because his father loved cigarettes. The store owner claimed that the new brand of cigarettes he had pointed out were imported from Jamaica and upon testing one cigarette, Danny was satisfied and this led to his acceptance of the contract. Regardless, when his father smoked the first and second cigarettes, he produced an offensive smell and consumed him in less than four minutes. Returning the product to the shop yielded no results forcing him to sue the shop. Following this case study, it is evident that the store went against the Common Law of Contracts, particularly the good faith law.
This aspect of the Common Law of Contracts implies that all the parties involved in an agreement should deal with pure honesty, fairness, and good faith (Klass, 2010). The good faith law ensures that one party should not interfere with the other’s right to gain the benefits of the contract. Faith is abstract in nature and includes a sincere belief that lacks any malice or intentions to defraud others. In the case presented, the shop owner told Danny that the brand of cigars is imported from Jamaica which was a misrepresentation on his part. To add to the lie, the shop owner compared the brand to the original Cuban cigars confusing the young man who did not even know how a cigar tastes like. The lies projected by the shop owner painted a wrong image of the product leading to lawsuits. The good faith requirement desires that honesty is upheld which was the missing factor in the formation and execution of the contract leading to its breach (Klass, 2010).
Case study 2
Upon entering a partnership, Jefferson and Marcy decided to purchase a television from Bundy Electronics where they have joint and several liability. The seller is a large retailer who sells electrical appliances and electronics throughout the country. The conditions of the contract is that the product is to be paid for when it arrives. However, after the contract was agreed on, the supplying truck had an accident and the goods were damaged beyond repair. According to the UCC’s codes protecting the contract, the seller, that is Bundy Electronics, would assume the loss of the product until the proxy arrives at the desired destination (Cabrelli, 2016). In other words, if the television had reached the destination and is damaged, then Marcy and Jefferson would assume the loss. In this sense, the contract becomes void because the buyers did not gain physical possession of the television.
This article is activated when the contract is breached like I this case the truck got an accident, and the product got damaged. Considering the possibility that the television did not incur any damage while it was en route, the seller would then not assume the loss. This is because the product would have reached the buyers, who are Marcy and Jefferson. Taking physical possession of goods would imply that the contract would have been completed (Cabrelli, 2016). No physical damage to the product would not put the seller in a disadvantaged position even if the truck that was delivering it was involved in the loss. The contract would therefore still be viable. This is in conjunction with Article 2 of the Common Law of Contracts which covers not only the sales but also the repudiation of a contract (Cabrelli, 2016).
Reference
Cabrelli, D. (2016). Liability and Remedies for Breach of the Contract of Employment at Common Law: Some Recent Developments. Industrial Law Journal, 45(2), 207-219.
Klass, G. (2010). Contract law in the USA. Austin [Tex.: Wolters Kluwer Law & Business.
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