A release does not require consideration to be legally binding.
Proximate cause exists when injuries sustained were too remotely connected to an
incident to trigger liability.
A party who substantially performs his or her duties under a contract can enforce the
contract against the other party.
On May 1, Local Cartage Company and Modern Computers, Inc., orally agree that
Local Cartage will pick up from National Chip Corporation and deliver to Modern
Computers’ manufacturing plant a certain number of computer chips on each Monday in
May. Under the agreement, Modern Computers will pay for the delivery services on
June 1. On May 1, is this contract express, implied in fact, or implied in law? On May
31, after all of the deliveries have been made, is the contract executed or executory?
Some companies have set up confidential systems for employees to “raise red flags”
about suspected unethical practices.
An executory contract is one that has been fully performed.
Businesspersons who would choose to act unethically may be deterred from doing so
because of public opinion.
An S corporation is treated the same as a regular corporation for tax purposes
Unless the parties agree otherwise, the buyer must make payment at the time and place
that the goods are received.
The Constitution expressly excludes state regulation of commerce.
Simply obeying the law fulfills all ethical obligations.
A court’s review of an arbitrator’s award may be restricted.
A law that has any impact on religion is unconstitutional.
In early neutral case evaluation, a third party’s evaluation of each party’s strengths and
weaknesses forms the basis for negotiating a settlement.
Managers must apply different standards to themselves than they apply to their
employees.
Signal Sets Company contracts to deliver one hundred 52-inch plasma high-definition
television sets to a new retail customer, Tuner TV Store, on May 1, with payment to be
made on delivery. Signal tenders delivery in its own truck. Tuner’s manager notices that
some of the cartons have scrape marks. Tuner’s owner phones Signal’s office and asks
whether the sets might have been damaged as they were being loaded. Signal assures
Tuner that the sets are in perfect condition. Tuner tenders Signal a check, which Signal
refuses, claiming that the first delivery to new customers is always for cash. Tuner
promises to pay the cash within two days. Signal leaves the sets with Tuner, which
stores them in its warehouse pending its “Grand Opening Sale” on May 15. Two days
later, Tuner’s stocker opens some of the cartons and discovers that a number of the sets
are damaged beyond ordinary repair. Signal claims Tuner has accepted the sets and is in
breach by not paying on delivery. Will Signal succeed on these claims? Explain.
The doctrine of res ipsa loquitur applies if an event causing harm does not normally
occur in the absence of negligence.