Due to high gasoline prices, American Bakeries Company (ABC) considered converting its fleet of over 3,000 vehicles to a much less expensive propane fuel system. After negotiations with Empire Gas Corporation (Empire), ABC signed a contract for approximately three thousand converter units, "more or less depending upon requiremen ...continues
Contractual Modifications/Statute of Frauds
(1) Adams orders one thousand widgets at $5 per widget from International Widget to be delivered within sixty days. After the contract is consummated and signed, Adams requests that International deliver the widgets within thirty days rather than sixty days. International agrees. Is the contractual modification binding? (2) I ...continues
3. Browne & Assoc., a San Francisco company, orders from U.S. Electronics, a New York company, ten thousand electronic units. Browne & Assoc.'s order form provides that any dispute would be resolved by an arbitration panel located in San Francisco. U.S. Electronics executes and delivers to Browne & Assoc. its acknowledgment form ...continues
Contractual Modifications/Statute of Frauds
Reinfort executed a written contract with Bylinski to purchase an assorted collection of shoes for $3,000. A week before the agreed shipment date, Bylinski called Reinfort and said, "We cannot deliver at $3,000; unless you agree to pay $4,000, we will cancel the order." After considerable discussion, Reinfort agreed to pay $4,00 ...continues
Contracts, Irrevocable Offers, Unconscionability
(1) On November 23, Acorn, a dress manufacturer, mailed to Bowman a written and signed offer to sell one thousand sundresses at $50 per dress. The offer stated that it would "remain open for ten days" and that it could "not be withdrawn prior to that date." Two days later, Acorn, noting a sudden increase in the price of sundr ...continues
Courts Distributors needed two hundred compact refrigerators on a rush basis. It contacted Eastinghouse Corporation, a manufacturer of refrigerators. Eastinghouse said it would take some time to quote a price on an order of that size. Courts replied, "Send the refrigerators immediately and bill us later." The refrigerators were ...continues
While adjusting a television antenna beside his mobile home and underneath a high-voltage electric transmission wire, Prince received an electric shock resulting in personal injury. He claims the high-voltage electric current jumped from the transmission wire to the antenna. The wire, which carried some 7,200 volts of electricit ...continues
MT, already in the business of marketing agricultural products, decided to try its hand at marketing potatoes for processing. Nine months before the potato harvest, HMT contracted to supply Bell Brand with 100,000 sacks of potatoes. At harvest time, Bell Brand would only accept 60,000 sacks. HMT sues for breach of contract. Bell ...continues
Schreiner, a cotton farmer, agreed over the telephone to sell 150 bales of cotton to Loeb & Co. Schreiner had sold cotton to Loeb & Co. for the past five years. Written confirmation of the date, parties, price, and conditions was mailed to Schreiner, who did not respond to the confirmation in any way. Four months later, when the ...continues
American Sand & Gravel Inc. agreed to sell sand to Clark at a special discount if 20,000-25,000 tons were ordered. The discount price was 45¢ per ton, compared to the normal price of 55¢ per ton. Two years later, Clark orders, and receives, 1,600 tons of sand from American Sand & Gravel. Clark refuses to pay more then 45¢ per ...continues