Posted: November 9th, 2016

Compare and contrast In Flite’s liability under the contract to purchase the Cessna with Ted’s liability under the contract to purchase the Cessna.

38. Ed and Nora signed a contract that included a statement, “No evidence of oral negotiations may be used to change the terms of this contractual writing.” Later Ed sued Nora for a breach of contract. In court, Nora testified that she did not breach their agreement because, after signing the written contract, she and Ed orally agreed to change the contract terms. Nora’s testimony will: a) Be admitted by the court as evidence that Nora did not breach the contract. b) Be admitted as a valid exception under the Parol Evidence Rule. c) Be admitted if Nora is a minor because the Parol Evidence Rule does not apply to contracts with minors. d) Not be admitted under the Parol Evidence Rule. 39. A city ordinance permits street vendors to operate only within certain commercial areas of the city to prevent dangerous traffic congestion. The street vendors sued the city claiming that the restrictions were a violation of their equal protection rights as other businesses are not restricted to operating only in certain commercial areas within the city. How would you classify the ordinance? a. Constitutional; because the city has a justifiable purpose in enacting the ordinance, it does not violate the equal protection rights of street vendors. b. Constitutional; because street vendors are private businesses, they are not protected by the equal protection clause of the 14th Amendment. c. Unconstitutional; the ordinance unduly discriminates against street vendors as compared to other business owners and thus, violates the vendors’ equal protection rights. d. Unconstitutional; privately owned vendors, unlike public businesses, have a constitutional right to conduct business in any commercial area of their choice. 40. Charlie Customer bought an airline ticket on BartAir through Tina Travel Agent. Identify the legal relationship of Charlie, BartAir and Tina regarding this transaction. a) Charlie is the principal; Tina is his agent representing him with BartAir. b) BartAir is the principal; Tina is its agent in the sale of the airline ticket to Charlie. c) Tina is not the agent of BartAir or Charlie, but Tina’s employer, the travel agency, is the agent for Charlie. d) Tina is the agent for both BartAir and Charlie. Essay = 60 points: YOU MUST ANSWER ALL 5 ESSAYS 1. Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: Jones sued World Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against World Hotels? Explain fully why or why not. What elements must be proven by the Plaintiff in order to prevail? What defenses exist? 2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clarkson sues Lee to recover the costs of the landscaping. Would the outcome be different if Lee was sitting on the back porch drinking sweet tea while he watched Clarkson do the work? Why? 3. Dan, Fran and Stan want to establish a bike sales and rental shop. Dan and Fran will be actively involved in managing the business operations, and Stan is investing most of the money. The 3 want to use a form of business organization that will give limited liability to each of them. Discuss what would be the best type of business organization to limit their liability, and why? What are the advantages and disadvantages of that form? 4. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy. Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers. 5. Ted was hired by In Flite, Inc. to purchase an airplane on its behalf. Without mentioning that he was making the purchase on behalf of the principal, In Flite, Ted bought a Cessna 310 from Sam. 2 weeks later, In Flite declared bankruptcy and cannot now buy the airplane. Compare and contrast In Flite’s liability under the contract to purchase the Cessna with Ted’s liability under the contract to purchase the Cessna.