Business Law - Week 3 Class Agenda Other information: Good Samaritan Law | International Law Review Week 2 Case Study Break Discussion: Contracts continued Quiz Homework
Business Law - Week 3 Good Samaritan Law Sometimes called “imminent-peril doctrine” or “sudden emergency” Does not require action Protects the good samaritan Areas of Gray Los Angeles case
Business Law - Week 3 International Law (chapter 8) Export/Import tariffs and restrictions Dumping duties GATT WTO Foreign Corrupt Practices Act
Business Law - Week 3 Week 2 - key learnings Contract 4 Elements of a contract Judicial restraing vs judicial activism Promissory estoppel Quasi contract UCC Bilateral vs Unilateral contract Advertisements NOT contract offer Counteroffer | Mirror image rule
Business Law - Week 3 Week 3 Case studies Linn, Kimmi, Cecelia
Business Law - Week 3 Chapter 10 continued No contract if offer is not definite Exception = UCC (reasonable price, fair market value) Mirror image rule – any change constitutes a counter offer Exception = UCC (new terms, additional terms may be added but contradictory terms rule each other out
Business Law - Week 3 Clickwraps and Shrinkwraps (page 148/149) What do you think?
Business Law - Week 3 Chapter 11 - Consideration What is consideration? Both sides have to do/offer something/bargaining It must be definite Cannot be illusory Cannot be something already obligated to do It cannot happen in the past
Business Law - Week 3 Chapter 11 - Consideration The “thing” bargained for could be: Action or refrain from action Hamer vs Sidway Can benefit promisor OR be detriment to promisee
Business Law - Week 3 Requirements contract and Output contracts RC = agreement to buy all of a needed supply from a particular vendor - not quantified OC = agreement to sell all of certain stock to a particular business - not quantified Common Law; RC & OC not enforceable No definiteness - no consideration UCC: enforceable for sales of goods
Business Law - Week 3 Exceptions to contracts Promissory Estoppels NEVER count on Additional Work Agreement to work above and beyond what is already promised Unforeseen Circumstances Modifications Must be agreed upon by both parties in writing UCC – allows agreement modifications to a contract sometimes without consideration, in writing or oral.
Business Law - Week 3 Liquidated and Unliquidated debt Liquidated debt vs Unliquidated debt LD – no dispute about amount owned o Creditor agrees to take less money – not binding UD – dispute whether money owed and /or how much Parties can agree to less than creditor claims and the agreement is binding -- Known as “Accord & Satisfaction”
Business Law - Week 3 Chapter 12 - Legality A contract must be based on “legal” actions Gambling Insurance Licensing Statutes Usury
Business Law - Week 3 Chapter 12 - Legality A contract must be based on “legal” actions Non-Compete Agreements Exculpatory Clauses Unconscionable contracts Adhesion contracts “take it or leave it”
Business Law - Week 3 Quiz: Individual & Group
Business Law - Week 3 Chapter 13: Capacity and consent Minors Mentally impaired Fraud & Misrepresentation Mistake Undue Influence
Business Law - Week 3 Chapter 14: Written Contracts Statute of frauds requires certain contracts in writing: Interest in land Anything that must take more than 1 year to fulfill To pay debt of another As executor of an estate -- if using own money to pay Sale of goods over $500 (UCC) In consideration of marriage
Business Law - Week 3 Chapter 14: Written Contracts Must be signed by defendant Must name each party Clearly explain all terms of contract
Business Law - Week 3 Chapter 14: Written Contracts Parol Evidence: anything said, done, written prior to or during the signing of a contract Parol evidence irrelevant unless contract is ambiguous
Business Law - Week 3 Homework Read chapter 2, Quiz next week: (chapters 2, 16, 17) Topic next week: Introduction to Ethics