In states that follow the community property tradition, property acquired after the
marriage belongs solely to the party who acquired it.
By operation of law, a party can be discharged in bankruptcy from debts.
If a contract contains a delivery term of FOB place of shipment, the seller’s obligation
under the contract is to deliver the goods to a carrier for shipment.
John Harrington operates a business that almost always hires skilled workers who are
college graduates; currently, however, his business does have a part-time opening for an
unskilled worker. Harrington is considering hiring an uneducated welfare recipient
instead of a student from the local university. Apply the “Guidelines for Analyzing a
Contemplated Action” to this problem.
Generally, the prevailing party in a lawsuit will be awarded the costs of the action,
including witness fees and jury fees.
In most cases, both the policy and the general statute of limitations for contract actions
set time limits for bringing suit on the policy.
A subcontractor is a party to whom a general contractor delegates duties.
Fees charged by a lender for the reasonable expense of making a loan, such as the cost
of appraising property, are treated as interest for purposes of the usury law.
Theo, a member of TGI partnership, withdrew from the partnership and duly notified
the other members. The firm was an at-will partnership and the parties parted amicably,
posting a notice in the local newspaper of the dissolution of their firm. Cosmo, a
customer who had conducted business with Theo several times, did not see the
newspaper notice and was not informed of the dissolution. Later, Theo approached
Cosmo concerning a transaction similar to those Cosmo had engaged in before with
Theo acting on behalf of TGI. Cosmo placed an order, gave a substantial down payment
to Theo, and received a receipt on TGI stationery from him. Theo thereafter absconded
with the down payment, and TGI failed to honor the contract. Cosmo sued the other
members of TGI partnership. Discuss their potential liability.
Al was an attorney in a small town and was very well-respected. A couple retained Al to
represent them on the purchase of a home. Before closing, Al informed the couple of
payments that they were required to make by check at the closing. Among the required
payments the attorney told the couple to make were a check for $500 to Bob Brown and
a check for $610 to Susan Lee. The attorney explained that the check to Brown was for
a survey of the property and the check to Lee was for termite control work that the
couple had authorized.
The checks were issued and taken by Al who promised to deliver them. Al did not,
however, deliver them. Instead, Al forged the endorsements of the respective payees
and cashed the checks. When Al was later arrested on a similar matter, the couple
learned what had happened.
The couple made a claim against its bank for reimbursement, claiming the bank was not
authorized to pay these checks because they had not been effectively negotiated to the
bank. When the facts came to light, no person named Bob Brown had done a survey on
the property, but the termite work had been done by Lee. Decide both cases.
An agreement that contemplates the performance of an act prohibited by law is usually
void.
A buyer has a right to insist that all the goods be delivered at one time.
A bank always is liable to the depositor on a forged check that the bank has paid.
Third persons are prohibited from recovering from an accountant who commits fraud.
Unless otherwise specified, the place of delivery is the seller’s place of business.
The WTO provides a Dispute Settlement Body (DSB) to enable member countries to
resolve trade disputes rather than engage in unilateral trade sanctions or a trade war.
A depositor’s unauthorized signature must be reported to the bank within three years of
the time that the bank statement is received.
The Fair Credit Reporting Act applies only to consumer credit.