Merrick grows and sells blueberries. Maine Wild Blueberry Co. agreed to buy all of Merrick’s crop under a contract that left the price un liquidated. Merrick delivered the berries, but a dispute arose over the price. Maine Wild sent Merrick a check with a letter stating that the check was the “final settlement.” Merrick cashed the check but filed a suit for breach of contract, claiming that he was owed more. What will the court likely decide in this case? Why?
> Andrew, a resident of California, received an advertising circular in the U.S. mail announcing a new line of regional cookbooks distributed by the Every-Kind Cookbook Co. Andrew didn’t want any books and threw the circular away. Two days later, Andrew re
> Assume that the Food and Drug Administration (FDA), using proper procedures, adopts a rule describing its future investigations. This new rule covers all future circumstances in which the FDA wants to regulate food additives. Under the new rule, the FDA
> For decades, the Federal Trade Commission (FTC) resolved fair trade and advertising disputes through individual adjudications. In the 1960s, the FTC began promulgating rules that defined fair and unfair trade practices. In cases involving violations of t
> Huron Corp. has 300,000 common shares outstanding. The owners of these outstanding shares live in several different states. Huron has decided to split the 300,000 shares two for one. Will Huron Corp. have to file a registration statement and prospectus o
> Estrada Hermanos, Inc., a corporation incorporated and doing business in Florida, decides to sell $1 million worth of its common stock to the public. The stock will be sold only within the state of Florida. José Estrada, the chair of the board, says the
> Alitech Corp. is a small midwestern business that owns a valuable patent. Alitech has approximately a thousand shareholders with 100,000 authorized and outstanding shares. Block Corp. would like to have the use of the patent, but Alitech refuses to give
> Paradise Pools, Inc. (PPI) entered into a contract with Vittorio, LLP, to build a pool as part of a hotel being developed by Takahashi Development. PPI built the pool, but Vittorio, the general contractor, defaulted on other parts of the project. Takahas
> Alir owns 10,000 shares of Ajax Corp. Her shares represent a 10 percent ownership interest in Ajax. Zeta Corp. is interested in acquiring Ajax in a merger, and the board of directors of each corporation has approved the merger. The shareholders of Zeta h
> After graduating from college, Tina works briefly as a salesperson before filing for bankruptcy. Tina’s petition states that her only debts are student loans, taxes accruing within the last year, and a claim against her based on her misuse of customers’
> Adia owns a house and has an elderly third cousin living with her. Adia decides she needs fire insurance on the house and a life insurance policy on her third cousin to cover funeral and other expenses that will result from her cousin’s death. Adia takes
> Lehor collects antique cars. He contracts to purchase spare parts for a 1938 engine from Beem. These parts are not made anymore and are scarce. To obtain the contract with Beem, Lehor agrees to pay 50 percent of the purchase price in advance. Lehor sends
> Moore contracted in writing to sell her 2017 Hyundai Santa Fe to Hammer for $18,500. Moore agreed to deliver the car on Wednesday, and Hammer promised to pay the $18,500 on the following Friday. On Tuesday, Hammer informed Moore that he would not be buyi
> Moon, a farmer, needs to install a two-thousand-pound piece of equipment in his barn. This will require lifting the equipment thirty feet up into a hayloft. Moon goes to Davidson Hardware and tells Davidson that he needs some heavy-duty rope to be used o
> Taconic Plastics, Ltd., is a manufacturer incorporated in Ireland with its principal place of business in New York. Taconic enters into a contract with a German firm, Werner Voss Architects and Engineers, acting as an agent for the government of Saudi Ar
> The U.S. pineapple industry alleged that producers of canned pineapple from the Philippines were selling their canned pineapple in the United States for less than its fair market value (dumping). In addition to canned pineapple, the Philippine producers
> Macrotech, Inc., develops an innovative computer chip and obtains a patent on it. The firm markets the chip under the trademarked brand name “Flash.” Macrotech wants to sell the chip to Nitron, Ltd., in Pacifica, a foreign country. Macrotech is concerned
> Tandy purchased a washing machine from Marshall Appliances. The sales contract included a provision explicitly disclaiming all express or implied warranties, including the implied warranty of merchantability. The disclaimer was printed in the same size a
> Adam’s checks are imprinted with the words “Pay to the order of” followed by a blank. Adam fills in an amount on one of the checks and signs it, but he does not write anything in the blank following the phrase “Pay to the order of.” Adam gives this check
> Edward owned a retail sporting goods shop. A new ski resort was being constructed in his area, and to take advantage of the potential business, Edward decided to expand his operations. He borrowed a large sum from his bank, which took a security interest
> Nero needs $500 to buy textbooks and other supplies. Olivia agrees to loan Nero $500, accepting Nero’s computer as collateral. They put their agreement in writing. How can Olivia let other creditors know of her interest in the computer?
> Peter hires Alice as an agent to sell a piece of property he owns. The price is to be at least $30,000. Alice discovers that the fair market value of Peter’s property is actually at least $45,000 and could be higher because a shopping mall is going to be
> Nabil is the owner of a relatively old home valued at $105,000. The home’s electrical system is failing, and the wiring needs to be replaced. Nabil contracts with Kandhari Electrical to replace the electrical system. Kandhari performs the repairs, and on
> Kanahara is employed part-time by the CrossBar Packing Corp. and earns take-home pay of $400 per week. He is $2,000 in debt to the Holiday Department Store for goods purchased on credit over the past eight months. Most of this property is nonexempt and i
> Niles sold Kennedy a small motorboat for $1,500, telling Kennedy that the boat was in excellent condition. Kennedy gave Niles a check for $1,500, which Niles indorsed and gave to Frazier for value. When Kennedy took the boat for a trial run, she discover
> Waldo makes out a negotiable promissory note payable to the order of Grace. Grace indorses the note by writing on it “Without recourse, Grace” and transfers the note for value to Adam. Adam, in need of cash, negotiates the note to Keith by indorsing it w
> A check drawn by Cullen for $500 is made payable to the order of Jordan and issued to Jordan. Jordan owes his landlord $500 in rent and transfers the check to his landlord with the following endorsement: “For rent paid, [signed] Jordan.” Jordan’s landlor
> Bertram writes a check for $200 payable to “cash.” He puts the check in his pocket and drives to the bank to cash the check. As he gets out of his car in the bank’s parking lot, the check slips out of his pocket and falls to the pavement. Jerrod walks by
> Through negotiation, Emilio has received from dishonest payees two checks with the following histories: (a) The drawer issued a check to the payee for $9. The payee cleverly altered the numeral amount on the check from $9 to $90 and the written word from
> A college student, Austin Keynes, wished to purchase a new entertainment system from Friedman Electronics, Inc. Because Keynes did not have the cash to pay for the entertainment system, he offered to sign a note promising to pay $150 per month for the ne
> Juan Sanchez writes the following note on the back of an envelope: “I, Juan Sanchez, promise to pay Kathy Martin or bearer $500 on demand.” Is this a negotiable instrument? Discuss fully.
> Jorge contracts with Larry of Midwest Roofing to fix Jorge’s roof. Jorge pays half of the contract price in advance. Larry and Midwest complete the job, but Jorge refuses to pay the rest of the price. What can Larry and Midwest do?
> Sabrina Runyan writes the following note on a sheet of paper: “I, the undersigned, do hereby acknowledge that I owe Leo Woo one thousand dollars, with interest, payable out of the proceeds of the sale of my horse, Lightning, next month. Payment is to be
> Paul Gett is a well-known, wealthy financial expert living in the city of Torris. Adam Wade, Gett’s friend, tells Timothy Brown that he is Gett’s agent for the purchase of rare coins. Wade even shows Brown a local newspaper clipping mentioning Gett’s int
> On May 1, Sikora goes into Carson’s retail clothing store to purchase a suit. Sikora finds a suit he likes for $190 and buys it. The suit needs alterations. Sikora is to pick up the altered suit at Carson’s store on May 10. Consider the following separat
> Mackey orders from Pride one thousand cases of Greenie brand peas from lot A at list price to be shipped F.O.B. Pride’s city via Fast Freight Lines. Pride receives the order and immediately sends Mackey an acceptance of the order with a promise to ship p
> In which of the following situations would specific performance be an appropriate remedy? Discuss fully. (a) Thompson contracts to sell her house and lot to Cousteau. Then, on finding another buyer willing to pay a higher purchase price, she refuses to d
> On May 1, Jennings, a car dealer, e-mails Wheeler and says, “I have a 1955 Thunderbird convertible in mint condition that I will sell you for $13,500 at any time before June 9. [Signed] Peter Jennings.” By May 15, having heard nothing from Wheeler, Jenni
> Cohen contracts to sell his house and lot to Windsor for $100,000. The terms of the contract call for Windsor to pay 10 percent of the purchase price as a down payment. The terms further stipulate that if the buyer breaches the contract, Cohen will retai
> Junior owes creditor Iba $1,000, which is due and payable on June 1. Junior has been in a car accident, has missed a great deal of work, and consequently will not have the funds on June 1. Junior’s father, Fred, offers to pay Iba $1,100 in four equal ins
> The Caplans contract with Faithful Construction, Inc., to build a house for them for $360,000. The specifications state “all plumbing bowls and fixtures to be Crane brand.” The Caplans leave on vacation, and during their absence, Faithful is unable to bu
> Discuss whether either of the following contracts will be unenforceable on the ground that voluntary consent is lacking: (a) Simmons finds a stone in his pasture that he believes to be quartz. Jenson, who also believes that the stone is quartz, contracts
> Winona contracted with XtremeCast, a broadcast media firm, to cohost an Internet-streaming sports program. Winona and XtremeCast signed a new contract for each episode. In each contract, Winona agreed to work a certain number of days for a certain salary
> Marsala, a college student, signs a one year lease agreement that runs from September 1 to August 31. The lease agreement specifies that the lease cannot be assigned without the landlord’s consent. In late May, Marsala decides not to go to summer school
> Five years ago, Hensley purchased a house. At that time, being unable to pay the full purchase price, she borrowed funds from Thrift Savings and Loan, which in turn took a mortgage at 6.5 percent interest on the house. The mortgage contract did not prohi
> This chapter discussed a number of sources of American law. Which source of law takes priority in the following situations, and why? (a) A federal statute conflicts with the U.S. Constitution. (b) A federal statute conflicts with a state constitutional p
> Mallory promises a local hardware store that she will pay for a lawn mower that her brother is purchasing on credit if the brother fails to pay the debt. Must this promise be in writing to be enforceable? Why or why not?
> On May 1, by telephone, Yu offers to hire Benson to perform personal services. On May 5, Benson returns Yu’s call and accepts the offer. Discuss fully whether this contract falls under the Statute of Frauds in the following circumstances: (a) The contrac
> Grano owns a forty-room motel on Highway 100. Tanner is interested in purchasing the motel. During the course of negotiations, Grano tells Tanner that the motel netted $30,000 during the previous year and that it will net at least $45,000 the next year.
> Juan is an elderly man who lives with his nephew, Samuel. Juan is totally dependent on Samuel’s support. Samuel tells Juan that unless he transfers a tract of land he owns to Samuel for a price 35 percent below its market value, Samuel will no longer sup
> Joanne is a seventy-five-year-old widow who survives on her husband’s small pension. Joanne has become increasingly forgetful, and her family worries that she may have Alzheimer’s disease (a brain disorder that seriously affects a person’s ability to car
> A famous New York City hotel, Hotel Lux, is noted for its food as well as its luxury accommodations. Hotel Lux contracts with a famous chef, Chef Perlee, to become its head chef at $30,000 per month. The contract states that should Perlee leave the emplo
> Karlin takes her television set for repair to Orken, a merchant who sells new and used television sets. By accident, one of Orken’s employees sells the set to Grady, an innocent purchaser-customer, who takes possession. Karlin wants her set back from Gra
> Daniel, a recent college graduate, is on his way home for the Christmas holidays from his new job. He is caught in a snowstorm and is taken in by an elderly couple, who provide him with food and shelter. After the snowplows have cleared the road, Daniel
> Tabor is a buyer of file cabinets manufactured by Martin. Martin’s contract with Tabor calls for delivery of fifty file cabinets at $40 per cabinet in five equal installments. After delivery of two installments (twenty cabinets), Martin informs Tabor tha
> Washoe Medical Center, Inc., admitted Shirley Swisher for the treatment of a fractured pelvis. During her stay, Swisher suffered a fatal fall from her hospital bed. Gerald Parodi, the administrator of her estate, and others filed an action against Washoe
> Schmidt, the owner of a small business, has a large piece of used farm equipment for sale. He offers to sell the equipment to Barry for $10,000. Discuss the legal effects of the following events on the offer: (a) Schmidt dies prior to Barry’s acceptance,
> Ball e-mails Sullivan and inquires how much Sullivan is asking for a specific forty-acre tract of land Sullivan owns. Sullivan responds, “I will not take less than $60,000 for the forty-acre tract as specified.” Ball immediately sends Sullivan a fax stat
> With the objectives of preventing crime, maintaining property values, and preserving the quality of urban life, New York City enacted an ordinance to regulate the locations of adult entertainment establishments. The ordinance expressly applied to female,
> Danny and Marion Klein were injured when part of a fireworks display went astray and exploded near them. They sued Pyrodyne Corp., the pyrotechnic company that was hired to set up and discharge the fireworks. The Kleins alleged, among other things, that
> Richard is an employee of the Dun Construction Corp. While delivering materials to a construction site, he carelessly backs Dun’s truck into a passenger vehicle driven by Green. This is Richard’s second accident in six months. When the company owner, Dun
> A Georgia state law requires the use of contoured rear-fender mudguards on trucks and trailers operating within Georgia state lines. The statute further makes it illegal for trucks and trailers to use straight mudguards. In approximately thirty-five othe
> When and for what purpose is each of the following motions made? Which of them would be appropriate if a defendant claimed that the only issue between the parties was a question of law and that the law was favorable to the defendant’s position? (a) A mot
> Adams Textiles in Kansas City sells certain fabric to Silk & Satin Stores in Oklahoma City. Adams packs the fabric and ships it by rail to Silk. While the fabric is in transit across Kansas, a tornado derails the train and shreds and scatters the fabric
> In the past, the rules of discovery were very restrictive, and trials often turned on elements of surprise. For example, a plaintiff would not necessarily know until the trial what the defendant’s defense was going to be. In the last several decades, how
> In this chapter, we stated that the doctrine of stare decisis “became a cornerstone of the English American judicial systems.” What does stare decisis mean, why has this doctrine been so fundamental to the development of our legal tradition?
> Inez has a specific set of plans to build a sailboat. The plans are detailed, and any boat builder can construct the boat. Inez secures bids, and the low bid is made by the Whale of a Boat Corp. Inez contracts with Whale to build the boat for $4,000. Wha
> In the following situations, certain events take place after the contracts are formed. Discuss which of these contracts are discharged because the events render the contracts impossible to perform. (a) Jimenez, a famous singer, contracts to perform in yo
> ABC Tire Corp. hires Arnez as a traveling salesperson and assigns him a geographic area and time schedule in which to solicit orders and service customers. Arnez is given a company car to use in covering the territory. One day, Arnez decides to take his
> Teresa Roberts worked for Mike’s Trucking, Ltd., in Columbus, Ohio. Her supervisor was the company’s owner, Mike Culbertson. According to Roberts, Culbertson called her his “sexretary” and constantly talked about his sex life. He often invited her to sit
> Peggy Young was a driver for United Parcel Service, Inc. (UPS). When she became pregnant, her doctor advised her not to lift more than twenty pounds. UPS required drivers to lift up to seventy pounds and told Young that she could not work under a lifting
> The FBI trains its Special Agent recruits at the FBI Academy in Quantico, Virginia. * * * All Trainees must pass a physical fitness test the “PFT”. The FBI requires every Special Agent recruit to pass the PFT twice: on
> Contemporary Cars, Inc., sells and services cars in Maitland, Florida. Bob Berryhill, the dealership’s general manager, is responsible for the dealership’s overall operations. AutoNation owns the dealership, as well as over 200 other dealerships througho
> Beverly Ballard worked for the Chicago Park District. She lived with her mother, Sarah, who suffered from end-stage congestive heart failure. Beverly served as Sarah’s primary caregiver with support from Horizon Hospice & Palliative Care. The hospice hel
> C&D Services contracts with Ace Concessions, Inc., to service Ace’s vending machines. Later, C&D wants Dean Vending Services to assume the duties under a new contract. Ace consents. What type of agreement is this? Are Ace’s obligations discharged? Why or
> This diversity suit for breach of an insurance contract was dismissed on summary judgment, and the plaintiff’s Estate of Luster’s appeal presents issues of both contract interpretation and Indiana insurance law. Wavie Luster was a widow living alone in h
> Guido is the mother of two minor children. [Domingo] Martinez, the children’s father, died after he was run over by a car on July 8, 2001. Martinez was the victim of a hit-and-run accident. Guido, as personal representative of Martinez’s estate, retained
> Jeffrey Stambovsky signed a contract to buy Helen Ackley’s home in Nyack, New York. After the contract was signed, Stambovsky discovered that the house was widely reputed to be haunted. The Ackley family claimed to have seen poltergeists on numerous occa
> Plaintiffs Pavel Zissu and Aise Zissu bring suit [in this federal district court] against the owner of the property where they resided, IH2 Property Illinois, L.P. The Zissus claim that after a Cook County [Illinois] Sheriff turned over possession of the
> Gladys Piper died intestate (without a will). At the time of her death, she owned miscellaneous personal property worth $5,150 and had in her purse $206.75 in cash and two diamond rings. Wanda Brown, Piper’s niece, took the contents of her purse, alleged
> An investigation into allegations of sexual misconduct involving minors and Jerry Sandusky, former defensive coordinator for the Pennsylvania State University football team, led a grand jury to subpoena Gary Schultz. Schultz, a retired vice president of
> From 1999 through 2002, Todman & Company, CPAs, P.C., audited the financial statements of Direct Brokerage, Inc. (DBI), a broker-dealer in New York registered with the Securities and Exchange Commission (SEC). Each year, Todman issued an unqualified opin
> TransWeb, LLC, makes respirator filters made of nonwoven fibrous material to be worn by workers at contaminated worksites. At a filtration industry exposition, TransWeb’s founder, Kumar Ogale, handed out samples of TransWeb’s filter material. At the time, 3M
> Weyerhaeuser Company entered the Pacific Northwest’s hardwood lumber market in 1980. By 2000, Weyerhaeuser owned six mills processing 65 percent of the red alder logs in the region. Meanwhile, Ross-Simmons Hardwood Lumber Company operated a single compet
> Santonias Bailey was an employee of TitleMax of Georgia, Inc., in Jonesboro, Georgia. Bailey’s supervisor told him that TitleMax did not pay overtime, so he regularly worked off the clock. For example, on some Saturdays, he would work from 8:30 A.M. to 5
> Greg contracts to build a storage shed for Haney, who pays Greg in advance, but Greg completes only half the work. Haney pays Ipswich $500 to finish the shed. If Haney sues Greg, what will be the measure of recovery?
> Pipe fittings join together pipes and help direct the flow of pressurized water in pipeline systems. They are sold primarily to municipal water authorities and their contractors. Although there are several thousand unique configurations of fittings (diff
> As part of its implementation of the Clean Water Act, the Environmental Protection Agency (EPA) developed two sets of rules that apply to the cooling systems of power plants. Phase I rules require new power plants to restrict their inflow of water “to a l
> Duane O’Malley owned and operated Origin Fire Protection. Michael Pinski hired Origin to remove and dispose of 2,200 feet of insulation from a building Pinski owned in Kankakee, Illinois. The insulation contained asbestos, which Pinski, O’Malley, and O’M
> The taking of migratory birds is governed by the Migratory Bird Treaty Act (“MBTA”). The MBTA, which implements a series of treaties as federal law, prohibits the taking of any bird protected by those treaties unless and except as permitted by regulation
> I. Factual and Procedural Background [Keith Santangelo filed a complaint in a federal district court against Comcast Corporation, alleging a violation of the Fair Credit Reporting Act (FCRA).] Santangelo alleges that he contacted Comcast through the comp
> Lexmark International, Inc., sells the only style of toner cartridges that work with the company’s laser printers. Other businesses—known as remanufacturers—acquire and refurbish used Lexmark cartridges to sell in competition with the cartridges sold by
> POM Wonderful, LLC, makes and sells pomegranate-based products. In ads, POM touted medical studies claiming to show that daily consumption of its products could treat, prevent, or reduce the risk of heart disease, prostate cancer, and erectile dysfunctio
> I. BACKGROUND In the aftermath of the tragic terrorist attacks on September 11, 2001, Congress created the Transportation Security Administration [TSA] to shore up our nation’s civil aviation security. TSA is part of the U.S. Department of Homeland Secur
> Dr. Lyle Craker, a professor in the University of Massachusetts’s Department of Plant, Soil and Insect Sciences, applied to the Drug Enforcement Administration (DEA) for permission to register to manufacture marijuana for clinical research. He stated tha
> The Internal Revenue Service (IRS) is a sub agency of the U.S. Department of the Treasury. Responding to concerns about the performance of some paid tax-return preparers, the IRS issued a new rule. The rule required paid preparers to pass an initial cert
> Dana takes her roommate’s credit card without permission, intending to charge expenses that she incurs on a vacation. Her first stop is a gas station, where she uses the card to pay for gas. With respect to the gas station, has she committed a crime? If
> Dean Brothers Corp. owns and operates a steel drum manufacturing plant. Lowell Wyden, the plant superintendent, hired Best Security Patrol, Inc. (BSP), a security company, to guard Dean property and “deter thieves and vandals.” Some BSP security guards,
> Driving that train, high on cocaine, Casey Jones you better watch your speed. Trouble ahead, trouble behind, And you know that notion just crossed my mind. The Grateful Dead, Casey Jones, on Workingman’s Dead (Warner Bros. Records 1970). Although the rec
> Dolan Company specializes in professional services and business information from its base in Minneapolis, Minnesota. Discover Ready—a subsidiary of Dolan Company—performed litigation support [discovery management and document review services, including t
> Texas Gulf Sulphur Company (TGS) conducted aerial geophysical surveys over more than 15,000 square miles of eastern Canada. The operations indicated concentrations of commercially exploitable minerals. At one site near Timmins, Ontario, TGS drilled a hol