To rescind a contract for fraud, a plaintiff must prove an injury.
If it can be shown that a trespass to personal property was warranted, a complete
defense exists.
One guideline to evaluating the ethics of a particular action is to “let your conscience be
your guide.”
Punitive damages are almost never available in contract disputes.
Patent protection begins on the date that a patent is issued.
Identification takes place when specific goods are designated as the subject matter of a
sales or lease contract.
Pricing information is not a trade secret.
An “assignment of all rights” absolves the assignor of all liability under the contract that
created the rights.
Officers and employees of Apples Corporation and Oranges Corporation are convicted
of conspiring to violate a federal law that is punishable by a term of imprisonment and a
fine. Can Apples and Oranges be held liable for these crimes? If so, how can they be
punished?
Neal, a twelve-year-old, buys a pair of skis from Outdoor Outfitters (OO), telling the
salesperson that he has never been skiing but “really wants to do it.” The salesperson
urges Neal to take a lesson in the sport before attempting a run, but Neal ignores the
advice. On the first run, Neal loses control, hits a tree, and is injured. Neal files a suit
against OO, alleging that it was negligent to have sold the skis to him, when he was
clearly too young and inexperienced. How might OO defend itself?
A breach of contract may entitle the innocent party to rescind the contract.
A principal is exposed to tort liability whenever a third person sustains a loss due to an
agent’s misrepresentation.
When an agency relationship is terminated, the principal has a duty to personally notify
third parties who knew of its existence.
In many states, the plaintiff’s negligence is a defense that may be raised in a negligence
suit.
The state governments retain all powers not specifically delegated to the federal
government.
If a seller is a merchant, and the seller holds the goods, the risk of loss cannot pass to a
buyer.