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Explain Harold and Henry's Hammer Company
Henry's Hammer Company purchased metal from Harold. Harold was an independent contractor who sold different types of the best metal in the state. Henry's Hammer Company was new to the area. The company's purchasing agents wanted to be sure that the hammers produced by the company would be of the highest quality. The purchase price for the metal was $110,000. Henry's Hammer Company had to borrow this amount from the bank to finance the purchase. The metal was not fit to make hammers. Workers at Henry's Hammer Company realized that the metal did not work well under the heat and pressure conditions required to form hammers from the metal. Henry's Hammer Company did not have any other cash reserves to purchase different metal. Harold had the appropriate metal in stock that could be used to make the hammers. Harold orally promised to replace the metal. Subsequently, Harold realized this metal cost twice as much as the metal that he originally supplied. Harold did not keep his promise. Henry's Hammer Company sued Harold for specific performance of the contract as modified by Harold's promise to replace the metal.
Is specific performance of the contract modified by Henry's oral promise? Discuss why or why not. Explain actions Henry's Hammer Company could take to minimize legal risks associated with sales contracts.Please site past law cases if one is available for me to reference.
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