Please thoroughly explain the parol evidence rule.
What are its benefits and what are the reasons behind
the rule?
2. Contractual capacity is the ability to
understand and reason. What is the difference between
someone who is crazy versus someone who has been
previously declared insane by a judge? How does this
affect the contract?
3. Please fully explain the term consideration. Give
some examples.
4. Please cite three separate sections of the UCC
and explain their relevance to the subject of contract
law.
5. Specific performance may be asked of a court
under what circumstances?
Matthew Green, age 16, signed a contract to buy a
Camaro from Caruana Chevrolet. Matthew Green is
the son of Mark Green, a local businessman, well
known by Caruana Chevrolet. The Green family lived
about six miles from the dealership. The Green family
was friends with the Caruana family. Matthew Green
lived about six miles from his school and about one mile
from his job and used the Camaro to go back and forth
to school and to work.
When Matthew did not have the car, he used a car
pool to get to school and to work. Matthew’s father
occasionally drove the car in a carpool with other
parents and students. Several months later, the used
car which Matthew purchased became inoperable due
to the fact that the car was hit while legally parked and
was no longer drivable. Matthew Green gave notice of
his disaffirmance of the contact to Caruana Chevrolet.
Caruana Chevrolet refused to refund the purchase
price.
Caruana Chevrolet had purchased this vehicle at
auction for $2,500.00. The sale price to Matthew was
$7,000.00.
Please discuss the issues contained within this case.
Before you get to any subsequent issues, please take a
look at the primary issues. As I have discussed with
you, there needs to be an analysis of the base of this
case. Is or was there a contract?
Assume further that the dealership sold insurance to the
boy. The boy purchased the insurance but had no idea
about the meaning of the term insurance nor did he
understand the terms of the insurance policy. The policy
has wording that the purchaser of the insurance has to
be over 18 years of age. The agent for the insurance
company was the car dealer himself. Please fully
discuss this as well.This essay needs to be a minimum
of 750 words.
In November 2013, Phil O. Dendrin went to Caruana
Chevrolet to discuss the purchase of a 20013 Limited
Edition Corvette XL. General Motors was only going
to produce and limited number of these cars referred to
as “Indy Vettes.” This was named as such because one
or more of them were to be used as a pace car at the
Indianapolis 500. Phil talked to the used car manager
who partially filled out a buyer’s order form which he
then presented to his boss, John Smith, the new car
manager. After discussing the matter they agreed to sell
Phil O. Dendrin an Indy Vette at list price. The
manager wrote “list price” and signed his name on the
partially completed form, signing in the middle of the
page rather than in the space provided for the signature
of an officer of Caruana Chevrolet. Phil O. Dendrin
also signed the form and gave a deposit of $500.00.
At the time of the signing of the documents, Caruana
Chevrolet did not have a vette in its possession. Two
such cars were later received and in the interim the
market demand for the cars had driven their value far
above the list price. Caruana Chevrolet refused to
deliver either car to Phil O. Dendrin and attempted to
return his deposit. Phil O. Dendrin filed a lawsuit for
breach of contract and asked the court for either
damages or specific performance. Caruana Chevrolet
argues that the order form was too indefinite and
incomplete to amount to a valid and binding contract.
Please discuss the issues in this case and come to a
conclusion as to whether or not these positions are right
or wrong. If you do agree that there should be
damages, if at all, please discuss them. If you do agree
that there should be specific performance, please
identify what that is and why it should or should not
happen.
Please take a look at the UCC codes in the back of the
book and determine if any of them may be applicable.
This essay needs to be a minimum of 750 words.