Warranties with the bananas he shipped to george michael

Assignment Help Business Management
Reference no: EM131802378

The Bluth Company ("TBC") owns and operates a frozen banana stand on the boardwalk in Newport Beach, California (https://bit.ly/1M4esOi), from which it sells frozen bananas to the general public. TBC buys its bananas from a banana farmer in Honduras named Jorge Miguel, who can be considered a banana merchant. George Michael, the TBC employee who manages the banana stand, sends an email to Jorge Miguel stating "I offer to buy 1,000 bananas to sell at my frozen banana stand." There are two types of bananas that Jorge grows - the high starch and the low starch. The high starch bananas must be used when freezing them otherwise they will taste terrible. In all other aspects, there is no discernable difference between the two types of bananas. 

Jorge does not reply to George Michael's email, but instead ships him 1,000 low-starch bananas. Assume bananas are a commodity and their market price is readily available. Because TBC received the wrong type of bananas, it lost out on profits in the amount of $3,000. Also, because it couldn't meet customer demand, the banana stand lost out on a future contract to cater an event which would have resulted in profits of $10,000.

Please answer the following questions:

  • Did George Michael and Jorge Miguel form a contract under common law contract rules? What about under the UCC Article 2? Explain.
  • Did Jorge Miguel breach any warranties with the bananas he shipped to George Michael? (Hint: analyze all three types of warranties and determine whether it was breached)
  • In a lawsuit for breach of contract, what types of damages could TBC recover, and how much would those damages be?

Reference no: EM131802378

Questions Cloud

What is the purpose of business : 1. What is the purpose of business? 2. As business leaders, what do you see as your purpose and role in society?
Create a database to keep track of all the courses : The chairperson in the ISOM department at GMU needs to create a database to keep track of all the courses offered by the department.
Prepare a diagram with snap inc as the central organisation : Prepare a diagram with Snap Inc. as the central organisation surrounded by the company's stakeholder groups using the stakeholder view model.
Hr management and gig economy : This question is on workplace, HR management and 'gig economy.' Companies set working conditions, pay scales, training, and strive for stability.
Warranties with the bananas he shipped to george michael : Did Jorge Miguel breach any warranties with the bananas he shipped to George Michael?
What is the third phase in audit plan : What is the third phase in audit plan and how do I do it for a not for profit organization.
Prepared the journal entries to clear the intangible asset : Prepared the necessary journal entries to clear the intangible asset account and to set up accounts for separate intangible assets
What challenges do medical facilities face : What challenges do medical facilities face when trying to become more culturally competent? What kinds of assumptions do providers sometimes make about people.
Can system balancing buyer beware vs. safeguards : Can a system balancing "buyer beware" vs. "safeguards" for borrowers be developed? What workable solutions can be embraced by the two sides?

Reviews

Write a Review

Business Management Questions & Answers

  Vp or manager of marketing

Should a VP or Manager of Marketing, without a background in statistics, accept the research presented by researchers without confirming whether the data are really valid?

  Performing a swot analysis

Development of a new mission statement as well as subsequent marketing strategy. Repositioning its product in the minds of motorcycle buyers. Performing a SWOT analysis

  Cost-effectiveness analysis

Reflect on Reinhardt's 2009 article, "'Cost-Effectiveness Analysis' and U.S. Health Care." The article describes different approaches to analyzing health care. In 5-7 pages, do the following:

  Elements of leadership using the following criteria

Write a 700- to 1,050-word summary in which you articulate elements of leadership using the following criteria:

  Difference between e-business and e-commerce

What is the difference between e-business and e-commerce? How can e-business aid in the competitive strategy of business? Give some examples.

  Roles of io psychologist and social workers in job

roles of io psychologist and social workers in job analysiswith regards to social work and io psychology1. conduct a

  Discuss in relation to the agency problem

This situation gives professional managers an opportunity to pursue their own interest instead of that of shareholders. Major effort of researchers has been devoted to models in which capital structure is determined by agency costs.

  What arguments would you tell the judge

What arguments would you tell the judge on her behalf? What are your issues with the arguments presented to the judge by the hospital in Post 1?

  King of frozen italian foods

Your great uncle Luigi, the 1960's King of frozen Italian foods has left the building. He recently died. Since you were his only living relative, you get his distribution business. Since your uncle was the king in the 1960's, the business is still..

  How to apply organization behavior theory

What is the value of learning and being able to apply organization behavior theory and how relevant is the growing body of research about OB topics to the student--particularly, to the student practitioner?

  Describe three possible dissertation research topics

Describe three possible dissertation research topics related to organizational leadership. Make sure your topics are current and relevant to the field.

  How should bp have handled external environmental analysis

How should BP have handled an external environmental analysis and what environmental changes and trends (opportunities and threats) might they have discovered?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd