Question: What options are available to the nonbreaching

> If a contract specifies a particular carrier, then the shipper must use that carrier or be in breach of the contract—no exceptions should ever be allowed.

> The UCC should require the same degree of definiteness of terms, especially with respect to price and quantity, as general contract law does.

> The U.S. federal courts are accepting too many lawsuits initiated by foreigners that concern matters not relevant to this country.

> Courts should always uphold limitation-of-liability clauses, whether or not the two parties to the contract had equal bargaining power.

> The doctrine of commercial impracticability should be abolished.

> Many countries have eliminated the Statute of Frauds except for sales of real estate. The United States should do the same.

> After agreeing to an exculpatory clause or purchasing some item, minors often seek to avoid the contracts. Today’s minors are far from naïve and should not be allowed to avoid their contractual obligations.

> The terms and conditions in click-on agreements are so long and detailed that no one ever reads the agreements. Therefore, the act of clicking on “Yes, I agree” is not really an acceptance.

> Companies should be able to make or break employment contracts whenever and however they wish.

> Executives in large corporations are ultimately rewarded if their companies do well, particularly as evidenced by rising stock prices. Consequently, shouldn’t we just let those who run corporations decide what level of negative side effects is “acceptabl

> Because of overcriminalization, particularly by the federal government, Americans may be breaking the law regularly without knowing it. Should Congress rescind many of the more than four thousand federal crimes now on the books?

> Internet service providers should be subject to the same defamation laws as newspapers, magazines, and television and radio stations.

> Roslyn, a food buyer for Organic Cornucopia Food Company, decides to go into business for herself as Roslyn’s Kitchen. She contacts Organic’s suppliers, offering to buy their entire harvest for the next year. She also contacts Organic’s customers, offeri

> Robert Durbin, a student, borrowed funds from a bank for his education and signed a promissory note for their repayment. The bank loaned the funds under a federal program designed to assist students at postsecondary institutions. Under this program, repa

> GFI, Inc., a Hong Kong company, makes audio decoder chips, one of the essential components used in the manufacture of MP3 players. Egan Electronics contracts with GFI to buy 10,000 chips on an installment contract, with 2,500 chips to be shipped every th

> Guy Holcomb owns and operates Oasis Goodtime Emporium, an adult entertainment establishment. Holcomb wanted to create an adult Internet system for Oasis that would offer customers adult theme videos and live chat room programs using performers at the clu

> Robco, Inc., was a Florida arms dealer. The armed forces of Honduras contracted to purchase weapons from Robco over a six-year period. After the government was replaced and a democracy installed, the Honduran government sought to reduce the size of its m

> Kyle Bruno enters into a contract with X Entertainment to be a stuntman in a movie. Bruno is widely known as the best motorcycle stuntman in the business, and the movie, Xtreme Riders, has numerous scenes involving high-speed freestyle street-bike stunts

> Val’s Foods signs a contract to buy 1,500 pounds of basil from Sun Farms, a small organic herb grower, if an independent organization inspects the crop and certifies that it contains no pesticide or herbicide residue. Val’s has a contract with several re

> Chelene had been a caregiver for Marta’s elderly mother, Janis, for nine years. Shortly before Janis passed away, Chelene convinced her to buy Chelene’s house for Marta. Janis died before the papers were signed, however. Four months later, Marta used her

> Renee Beaver started racing go-karts competitively in 2015, when she was fourteen. Many of the races required her to sign an exculpatory clause to participate. She or her parents regularly signed such clauses. In 2017, right before her birthday, Renee pa

> Ted and Betty Hyatt live in California, a state that has extensive statutory protection for consumers. The Hyatts decided to buy a computer so that they could use e-mail to stay in touch with their grandchildren, who live in another state. Over the phone

> Mitsui Bank hired Ross Duncan as a branch manager in one of its Southern California locations. At that time, Duncan received an employee handbook informing him that Mitsui would review his performance and salary level annually. In 2015, Mitsui decided to

> James Stilton is the chief executive officer (CEO) of RightLiving, Inc., a company that buys life insurance policies at a discount from terminally ill persons and sells the policies to investors. RightLiving pays the terminally ill patients a percentage

> Edward Hanousek worked for Pacific & Arctic Railway and Navigation Company (P&A) as a roadmaster of the White Pass & Yukon Railroad in Alaska. As an officer of the corporation, Hanousek was responsible “for every detail of the safe and efficient maintena

> How do shrink-wrap and click-on agreements differ from other contracts? How have traditional laws been applied to these agreements?

> What elements are necessary for an effective offer? What are some examples of nonoffers?

> What rules guide the courts in interpreting contracts?

> How does a void contract differ from a voidable contract? What is an unenforceable contract?

> What is a contract? What is the objective theory of contracts?

> What are five steps that a businessperson can take to evaluate whether his or her actions are ethical?

> What is business ethics, and why is it important?

> How has the Internet expanded opportunities for identity theft?

> What constitutional safeguards exist to protect persons accused of crimes?

> What are five broad categories of crimes? What is white-collar crime?

> What two elements normally must exist before a person can be held liable for a crime?

> How do online retailers track their users’ Web browsing activities?

> When does the law protect a person’s electronic communications from being intercepted or accessed?

> What steps have been taken to protect intellectual property rights in the digital age?

> What are trade secrets, and what laws offer protection for this form of intellectual property?

> What law governs whether Internet service providers are liable for online defamatory statements made by users?

> How does the law protect patents?

> Why is the protection of trademarks important?

> What is cybersquatting, and when is it illegal?

> What is the difference between signature liability and warranty liability?

> What are the requirements for attaining the status of a holder in due course (HDC)?

> What requirements must an instrument meet to be negotiable?

> What implied warranties arise under the UCC?

> What remedies are available to a seller or lessor when the buyer or lessee breaches the contract?

> What is the perfect tender rule? What are some important exceptions to this rule that apply to sales and lease contracts?

> What law governs contracts for the international sale of goods?

> Risk of loss does not necessarily pass with title. If the parties to a contract do not expressly agree when risk passes and the goods are to be delivered without movement by the seller, when does risk pass?

> What exceptions to the writing requirements of the Statute of Frauds are provided in Article 2 and Article 2A of the UCC?

> In a sales contract, if an offeree includes additional or different terms in an acceptance, will a contract result? If so, what happens to these terms?

> If a contract involves both goods and services, does the UCC apply?

> Under the Foreign Sovereign Immunities Act, in what situations is a foreign state subject to the jurisdiction of U.S. courts?

> What is the principle of comity, and why do courts deciding disputes involving a foreign law or judicial decree apply this principle?

> What is a limitation-of-liability clause, and when will courts enforce it?

> What is the difference between compensatory damages and consequential damages? What are nominal damages, and when do courts award nominal damages?

> What is the standard measure of compensatory damages when a contract is breached? How are damages computed differently in construction contracts?

> What factors indicate that a third party beneficiary is an intended beneficiary?

> In what situations is the delegation of duties prohibited?

> What is an assignment? What is the difference between an assignment and a delegation?

> What is parol evidence? When is it admissible to clarify the terms of a written contract?

> What contracts must be in writing to be enforceable?

> What is the difference between a unilateral and a bilateral mistake?

> What is an exculpatory clause? In what circumstances might exculpatory clauses be enforced? When will they not be enforced?

> Under what circumstances will a covenant not to compete be enforced? When will such covenants not be enforced?

> Does a minor have the capacity to enter into an enforceable contract? What does it mean to disaffirm a contract?

> In what circumstances might a promise be enforced despite a lack of consideration?

> What is consideration? What is required for consideration to be legally sufficient?

> What is the Uniform Electronic Transactions Act? What are some of the major provisions of this act?

> Eagle Corporation began marketing software in 2001 under the mark “Eagle.” In 2013, Eagle.com, Inc., a different company selling different products, begins to use eagle as part of its URL and registers it as a domain name. Can Eagle Corporation stop this

> Karl self-publishes a cookbook titled Hole Foods, in which he sets out recipes for donuts, Bundt cakes, tortellini, and other foods with holes. To publicize the book, Karl designs the Web site holefoods.com. Karl appropriates the key words of other cooki

> Sabrina owes $600 to Yale, who asks Sabrina to sign an instrument for the debt. If written on the instrument by Sabrina, which of the following would prevent its negotiability—“I.O.U. $600,” “I promise to pay $600,” or an instruction to the bank stating,

> Truck Parts, Inc. (TPI), often sells supplies to United Fix-It Company (UFC), which services trucks. Over the phone, they negotiate for the sale of eighty-four sets of tires. TPI sends a letter to UFC detailing the terms and two weeks later ships the tir

> E-Design, Inc., orders 150 computer desks. Fav-O-Rite Supplies, Inc., ships 150 printer stands. Is this an acceptance of the offer or a counteroffer? If it is an acceptance, is it a breach of the contract? What if Fav-O-Rite told E-Design it was sending

> Gems International, Ltd., is a foreign firm that has a 12 percent share of the U.S. market for diamonds. To capture a larger share, Gems offers its products at a below-cost discount to U.S. buyers (and inflates the prices in its own country to make up th

> Lyle contracts to sell his ranch to Marley, who is to take possession on June 1. Lyle delays the transfer until August 1. Marley incurs expenses in providing for cattle that he bought for the ranch. When they made the contract, Lyle had no reason to know

> Greg contracts to build a storage shed for Haney. Haney pays Greg in advance, but Greg completes only half the work. Haney pays Ipswich $500 to finish the shed. If Haney sues Greg, what would be the measure of recovery?

> Ready Foods contracts to buy two hundred carloads of frozen pizzas from Speedy Distributors. Before Ready or Speedy starts performing, can the parties call off the deal? What if Speedy has already shipped the pizzas? Explain your answers.

> My-T Quality Goods, Inc., and Nu! Sales Corporation orally agree to a deal. My-T’s president has the essential terms written up on company letterhead stationery, and the memo is filed in My-T’s office. If Nu! Sales later refuses to complete the transacti

> In selling a house, Matt tells Ann that the wiring, fixtures, and appliances are of a certain quality. Matt knows nothing about the quality, but it is not as specified. Ann buys the house. On learning the true quality, Ann confronts Matt. He says he wasn

> Sun Airlines, Inc., prints on its tickets that it is not liable for any injury to a passenger caused by the airline’s negligence. If the cause of an accident is found to be the airline’s negligence, can it use the clause as a defense to liability? Why or

> Applied Products, Inc., does business with Beltway Distributors, Inc., online. Under the Uniform Electronic Transactions Act, what determines the effect of the electronic documents evidencing the parties’ deal? Is a party’s “signature” necessary? Explain

> Kerin sends a letter to Joli telling her that he has a book to sell at a certain price. Joli signs and returns the letter. When Kerin delivers the book, Joli sends it back, claiming that they do not have a contract. Kerin claims they do. What standard de

> Delta Tools, Inc., markets a product that under some circumstances is capable of seriously injuring consumers. Does Delta have an ethical duty to remove this product from the market, even if the injuries result only from misuse? Why or why not?

> Acme Corporation decides to respond to what it sees as a moral obligation to correct for past discrimination by adjusting pay differences among its employees. Does this raise an ethical conflict between Acme and its employees? Between Acme and its shareh

> Without permission, Ben downloads consumer credit files from a computer belonging to Consumer Credit Agency. He then sells the data to Dawn. Has Ben committed a crime? If so, what is it?

> Global Products develops, patents, and markets software. World Copies, Inc., sells Global’s software without the maker’s permission. Is this patent infringement? If so, how might Global save the cost of suing World for infringement and at the same time p

> While he was in high school, Joel Gibb downloaded numerous songs to his smartphone from an unlicensed file-sharing service. He used portions of the copyrighted songs when he recorded his own band and posted videos on YouTube and Facebook. He also used Bi

> John and Andrew Doney invented a hard-bearing device for balancing rotors. Although they obtained a patent for their invention from the U.S. Patent and Trademark Office, it was never used as an automobile wheel balancer. Sometime later, Exetron Corp. pro

> Has the taxpayer in each of the following situations received taxable income? If so, when should the income be recognized? Explain. a. Charlotte is a lawyer who specializes in drafting wills. She wants to give her husband a new gazebo for Christmas.

> Determine the amount of income that must be recognized in each of the following cases: a. Ramona is a production supervisor for White Company. During the current year, her division had no accidents, and White rewarded the achievement with a $200 cash aw

> Pablo wins a new automobile on a television game show. The car has a listed sticker price of $31,500. A dealer advertises the same car for $30,000. How much income does Pablo have from the receipt of the car? Explain.

> Devi is the chief executive officer of Nishida Limited. Devi owns 20% of the common stock of Nishida. During the current year, Devi’s salary is $60,000 and he receives a $30,000 bonus. Nishida has taxable income of $200,000 and pays $80,000 in cash di

> What is the purpose of the exemption deduction?

> How much income should the taxpayer recognize in each of the following situations? Explain. a. Julius owns a 25% interest in the Flyer Company, which is organized as a partnership. During the current year, he is paid $14,000 by Flyer as a distribution of

> Reddy owns common stock with a market value of $30,000. The stock pays a cash dividend of $1,200 per year (a 4% annual yield). Reddy is considering selling the stock, which she purchased 13 years ago for $10,000, and using the proceeds to purchase stoc

> The Rosco Partnership purchases a rental property in 2012 at a cost of $150,000. From 2012 through 2017, Rosco deducts $14,000 in depreciation on the rental. The partnership sells the rental property in 2017 for $160,000 and pays $9,000 in expenses rel