Essays on Merchantability

Introduction

Fair play in business practices is essential to the maintenance of a self-sustainable corporate environment. Precisely, all the parties involved in any business activity need to embrace ethical principles while following the legal provisions in any commercial venture. With this in mind, it is worth acknowledging the fact that Kallestad breached the fundamental provisions of an implied warranty by selling substandard products to Peter and Tanya Rothing. According to Murthy and Blischke (2006), an implied warranty is a contract arising from the operation of the law guaranteeing that the goods to be sold are merchantable and are appropriate for ...

1. What are the elements of Bankruptcy under Chapter 7, Chapter 11, and Chapter 13? Identify the key differences. Provide an example for each.

The elements of bankruptcy specified in Chapter 7 have to do with the sale of a debtor's property in order to pay off debts. Put simply, the debtor sells of non-exempt holdings to pay creditors. The elements of bankruptcy specified in Chapter 11 on the other hand, have to do with the reorganization of the organization. Put simply, the debtor files for bankruptcy which in turn allows him to continue with the organization and pay off creditors over a period of time. Lastly, the elements of bankruptcy mentioned in Chapter 13 involve bankruptcy protection. Under this law, the debtor has ...

Position statement4

Misrepresentation of facts.4 Negligence.5 Corporate Decision-making...6

Summary

General Motors Company deals with automotive, in most cases, vehicles. The management was aware of the problems with the ignition switch which could force cars to shut suddenly down, disabling their steering. In practice, this could bring about an action on strict liability against the company by the consumers. According to the law, the producer incurs strict liability whenever there arise safety ramifications which the producer is aware of. In this case, it is apparent that General Motors is aware of the defects and the harm they could cause to the ...

The Regulation of Federal Acquisition (FAR) section 46.703 basically envisages the law of warranty. This statute sets the reasons for the need for warranties, defines the types and gives the scope and overview thereof. The first segment of this law gives the scope and overview of the warranty requirements. It gives Program Managers (PM), Logistic Managers (LM), Contracting Officers Representatives (COR), Contracting Officers (CO) and Project Officers (PO), together with others who are responsible for the implementation and development of warranty guidelines and steps to this great task. For example, the first step to developing a warranty is establishing a warranty ...

Knarles and Barkley Case Study

Liabilities under Contract Law Chetum vs Knarles & Barkley Fact: Knarles wants to repudiate a contract between Chetum and Barkley.

Issue: Breach of contract. Chetum entered into a contract with Barkley that Knarles, Barkley’s father and business partner, refuses to accept. Does Knarles repudiation of the contract constitute a breach of contract?

Rule of Law: A contract must have the following elements in order to be enforceable: (1) mutual consent, manifested by offer and acceptance, (2) consideration, (3) legality of object, and (4) capable parties (Calamari and Perillo, 1998). Application: Barkley sent a contract (offer), which Chetum signed (acceptance), ...

Introduction

In the advent of technology, many companies are engaging in international business. International markets present lucrative opportunities for companies where domestic markets are mature or saturated. However, international business also presents a challenge as the laws governing contracts and sale of goods vary from country to country. It is fundamental for all business managers to understand the intricacies governing the sale of goods and contracts in order to avoid the legal burden and negative publicity associated with breach of sale of goods contacts. Legal proceedings take time, are expensive, and bring bad publicity to the company thus should be avoided ...