ISSUE Determine whether a contract is unconscionable as a matter of law and hold the fairness in every transaction. RULE According to section 2-302 of the Uniform Commercial Code give court right to find out a contract or clause was “Unconscionable at the time it was made”. As the result, the court can refuse to enforce the contract, carry out what’s fair in that contract beside the clause or contract that’s unconscionable, or limit the application of the clause to avoid any future unfair result. APPLICATION In this case, Joneses (the plaintiff) who are welfare recipients purchase a freezer for $900 (which the total include credit charges and $18 sales tax) with a retail value of $300. As a matter of law, the court held this unconscionable
this case could be an tricky in the court, because in the contract they only
The disputed contract is a services contract and should not be governed by the UCC.
Read the David Miller case from Chapter 5. After reading the case, describe a reason why someone who has been entrusted with the firm’s assets would commit a fraudulent act against the company. Based upon your understanding of the case and your professional and personal experience, recommend a series of actions that should have been taken in order to pre
Be Ethically Consistent – Establish and maintain a high ethical standard without making or rationalizing inconvenient exceptions.
Additionally, when it comes to a contract being labeled as “unconscionable”, it relates to “the process of contract formation essentially involves a “take it or leave it” offer of an agreement drafted by a more powerful party (a “contract of adhesion”) and when the contents of the agreement unreasonably favor the more powerful party” (p. 22). With the term “procedurally unconscionable”, which is what Judge Fuentes pointed out Nino had no opportunity to negotiate with DI over the contract terms, DI was the stronger contractual party, and the arbitration agreement is thus
Nick Stafford payed a DMV bill with five wheelbarrows of only pennies. The 300,000 pennies weighed a total of 1,600 pounds. Nick was upset because the DMV’s employees would not give him the phone numbers to nine local offices. All Nick wanted to know was which of his four houses he should list when licensing his son’s new car. Stafford said “If they were going to inconvenience me, then I was going to inconvenience them,”. He kept calling the DMV until the employees answered his question. He then said he wanted the phone numbers of nine other DMV offices, and he filed suit to obtain them. The suit was dismissed by the judge when the state gave Stafford the phone numbers.It cost him $1,005 to pay a sales tax of around $3,000 on two new cars but,
I have experienced third- degree price discrimination in the form of receiving a military discount of 10% on all purchases I make a Lowe’s home improvement stores. This form of price of price discrimination qualifies as third-degree price discrimination due to the fact that it applies only to a certain group active, honorably discharged veterans, their spouses, and their children 18 years of age and younger. This is a positive form of price discrimination for this group of purchasers, and being able to buy the same goods for less money than other purchasers is price discrimination (Sexton, 2012).
The defendant next proceeded to customer service and successfully returns the sneakers with an old Walmart receipt. The defendant acknowledged, and signed Walmart's return slip and received a cash refund of $18.44, the value of the sneakers.
Please prepare an analysis of this case. Your write-up should be 4 to 7 pages. Each of the following questions should be addressed individually:
The rule that courts will imply a term that was overlooked when the contract was being made, as it was so obvious
The fairness principle requires that all stakeholders be treated fairly and it defines fairness in four ways. Reciprocal fairness speaks to treating other parties fairly and having them treat the company and its employees properly as well. Distributive fairness discusses the proper allocation of limited corporate resources to maximize their benefit for the company as a whole. Competitive fairness involves interaction with existing and potential competitors. Competitive fairness must include fair treatment of your competitors and does not allow collusion, bribes, or other illegal relationships. Procedural fairness requires that the company and its employees treat all parties that interact with the firm properly and with due process, including any internal employees who notify authorities of any illegal actions taking place at the company (Stanwick & Stanwick, 2009).
Ø Give some specific examples of ethical issues that confront businesses and how these might be addressed.
Law 2: Under statute law, unfair terms within a contract are deemed by the court as unenforceable. As a result, the court will remove these terms from the standard form contract, and treat the contract as if the term was never present (Australian Consumer Law s 23(1)). One such example of unfair terms is when a term that allows one party (but not the other) to vary the terms of the contract after it has been agreed to (ACL s 25(1)(d)). In order to void the term under the Act (ACL s 23 (1)), two main requirements must be satisfied:
Section 12(2) of the act defines a condition as “a stipulation essential to the main purpose of the contract, the breach of which gives rise to a right to treat the contract as repudiated.” Conditions is called an ‘express condition’ when a condition is expressed clearly in writing. A condition is a stipulation essential to the main purpose of the contract. It is very vital to the
When making a decision, check whether distributive justice is served. Document reasons for making a decision and confirm there is no bias