Pamela was the agent in charge of distribution and collections for the Coble Dairy
Products Cooperative. Thrower operated a grocery store and purchased dairy products
from Coble. Pamela made false invoice sheets, showing delivery to Thrower of greater
quantities than Thrower actually had ordered or received. Pamela collected from
Thrower on the basis of these increased amounts, and then kept for herself the
difference between the increased amounts and the amounts that should have been
charged. When Thrower learned of this, he sued Coble for the excess payments he had
made. Coble denied that Pamela was its agent in making excess collections. Will
Thrower win?
It is impossible to form a business in a manner that allows for single taxation and
limited liability.
Law is often defined as the body of principles that courts will enforce.
Unreasonable methods of debt collection may be held by the courts to constitute an
unreasonable invasion of privacy.
Consumer protection legislation regulates the prices that sellers may charge consumers.
Vesting refers to the ability of an employer to reclaim all of the funds it may have paid
into a former employee’s retirement fund upon that employee’s decision to resign.
An owner ordinarily is not liable for harm caused a third person by the negligence of an
employee of an independent contractor.
To stabilize the industry, manufacturers of the same or similar products may agree that
each will market its product in a specified geographic area of the country and will not
market its product in the territory assigned to other manufacturers.
The statement, “I doubt that I can perform the contract,” is a repudiation of the contract.
A limited defense will not defeat a holder in due course but will defeat an ordinary
holder.
Until a transfer is recorded on its books, a corporation is entitled to treat the person
whose name is on its books as the owner of its stock.
It is a federal offense for a manufacturer to require a distributor to maintain a specified
price on reselling to retailers.
A writing required by the statute of frauds may be in any form.
A party who speaks with a reckless disregard for the truth not knowing of the falsity of
his or her words cannot be liable for fraud.
Most states provide that if a dishonored check is not made good within a stated period
of time, it will be presumed that the check was originally issued with the intent to
defraud.
In a bankruptcy case, after all creditors have been paid, any balance is turned over to
the debtor.
Most courts consider an engagement ring to be a conditional gift.
A majority action of partners is not binding if it contravenes the partnership agreement.
In performing agency duties, the agent must exercise the care that a reasonably prudent
person would exercise under the same circumstances.