Question: Ralston Purina contracted to buy soybeans from McNabb Poor weather
Ralston Purina contracted to buy soybeans from McNabb. Poor weather damaged most of the soybeans, making it impossible for McNabb to deliver his crop by the deadline date. Ralston Purina agreed to modify the contract, without additional consideration, to allow delivery at a later date. When McNabb still could not deliver by the new deadline date, Ralston Purina sued for breach of contract based on the new deadline date. McNabb admitted damages but claimed that Ralston Purina, an experienced purchaser of soybeans, was not acting in good faith when it modified the contract, knowing that the price would rise as the result of the crop failure. McNabb therefore contended that the modification was not good and that the measure of damages claimed by Ralston Purina should be based not on the price as of the new deadline date but on the price of soybeans as of the date McNabb originally agreed to furnish the soybeans but failed to do so. Do you agree?
Answer to relevant QuestionsAuburn Plastics sent a letter to CBS offering to manufacture molds that CBS used to make parts for toys. The letter offer stated that CBS had fifteen days to accept or the option would lapse and that if CBS did accept the ...a. What is the purpose of identifying goods for the contract? b. Who bears the risk of loss when a contract is breached? Hughes purchased a new Lincoln Continental from Al Green Motors for $ 30,490 and made a down payment of $ 2,490. The balance due was financed through a local bank. Hughes took immediate possession, but it was agreed that she ...Salim entered into a contract to build a custom-made sailboat for McGregor for $ 8,000. On the delivery date, McGregor told Salim that he had changed his mind and no longer wanted the sailboat. Salim tried to sell the boat ...Supronics Corp., a manufacturer of ordinary types of lipsticks and nail polish, agreed to sell Hillmor Sales a small quantity of nail polish and lipsticks at close- out prices. Supronics then “pulled” the order so as to ...
Post your question