Recreation & Sports Equipment Corporation sells a product that is capable of seriously
injuring consumers who misuse it in a foreseeable way. Does the firm owe an ethical
duty to take this product off the market? What conflicts might arise if the firm stops
selling this product?
A seller does not have to use words such as “warrant” to make an express warranty.
Odiferous Waste Company is a subsidiary of Precarious Investments, Inc. Odiferous
operates a hazardous waste disposal site. QuikChem Corporation is one of many parties
who generate waste disposed of at the site. Odiferous borrows money from Regal Bank,
which takes over the site when Odiferous goes bankrupt. The Environmental Protection
Agency discovers a leak at the site. Can any of these private parties be forced to pay for
the clean up? If so, who?
The good faith requirement applies to both the holder and the transferor.
A unilateral mistake is a mistake made by both parties to a contract.
Cybersquatting occurs when a person repeatedly visits a business’s website.
If a contractual promise is not fulfilled, the person who made it may be required to
perform the promised act.
Shippers Dispatch Corporation orders office equipment from Office Outfitters, Inc.,
which has an unperfected security interest in the equipment until it is paid for.
Meanwhile, Shippers Dispatch takes out a loan from Capital Credit, Inc., subject to a
security interest in Shippers Dispatch’s building and equipment, which Capital perfects.
Shippers Dispatch files a bankruptcy petition under Chapter 7. If the petition is granted,
in what order will Shippers Dispatch’s creditors be paid?
The words used in an insurance contract are interpreted against the party who applied
for the policy.
Courts in many jurisdictions consider the negligent actions of both the plaintiff and the
defendant when apportioning liability in a product liability action.
Lawyers are not allowed to represent people in small claims courts in any of the states.
In a principal-agent relationship, the parties agree that the principal will act on behalf
and instead of the agent in negotiating and transacting business with third persons.
It is illegal for two parties to mutually agree to rescind a valid contract.
The term cure refers to the right of the buyer to reject, adjust, or replace nonconforming
goods.
Federal mortgage disclosure requirements apply to the written materials that a lender
provides and to any oral representations.