Unlock document.
This document is partially blurred.
Unlock all pages and 1 million more documents.
Get Access
The often competing rights of both debtors and creditors are balanced and protected
from excesses under United States law.
A party that rescinds a contract without proper grounds for rescission is liable for
damages for breach of the contract.
A sale of goods or services for $25 or more made to a buyer at home may be set aside
within five (5) business days.
If the negligence of the franchisee causes harm to a third person, the franchisor is not
liable because the franchisee is an independent contractor.
In most states, the statute of frauds requires that contracts of guaranty be in writing to
be enforceable.
Algonquin Industries was a small business that hired mostly recent immigrants to the
United States and paid them a minimum wage. The business prospered and people
began to come around to organize the workers into a union. Officials of Algonquin
spoke against the advisability of joining the union. Finally, a date for a certification vote
was set. In the days leading up to the vote, Algonquin officials began to intimate that
those workers who voted against the union would receive overtime opportunities "as
they became available." A charge has been brought that this is an unfair labor practice.
Decide.
Negotiability is the characteristic that distinguishes commercial paper and instruments
from ordinary contracts.
Persons who are not a party to a contract can never bring a suit based on that contract.
Governments are generally immune from tort liability.
In a large corporation, the shareholders are often the managers of the corporation.
An agent is authorized to make contracts for, and is under the control of, the principal.
Moral standards based on positive law may allow businesses to conduct themselves
unfairly so long as their actions are not illegal.
Governments may own factories and may compete with privately-owned businesses.
Parol evidence is allowed to show whether an agent has signed in a representative or an
individual capacity.
Janet Durham orally agreed to purchase certain computer hardware priced at $10,000
from Ted Stallings. The sale of the hardware also included a one-time setup service visit
priced at $100. The total contract price amounted to $10,100. The computer hardware
was delivered and set up, and Durham paid $10,100. Afterwards, Durham discovered
that she could obtain the same goods and services from another seller for a total
contract price of $9,100. She now seeks rescission of the contract, based on the fact that
more than $500 in goods were involved in the sales transaction, that the contract
between her and Stallings was subject to the statute of frauds as a result, and that the
oral agreement between them was therefore unenforceable. Durham wants to return the
computer hardware to Stallings, and receive reimbursement of $10,000 (She is willing
to waive her claim to reimbursement for the $100 setup service visit.) Evaluate
Durham's legal position in this matter.
