1. What were the terms of the contract between Campbell and the Wentzes? The terms of the...
Question:
1. What were the terms of the contract between Campbell and the Wentzes?
The terms of the contract between Campbell and the Wentzes involved a guarantee that all the red cored carrots grown by the Wentzes in their farm in 1947 would be delivered to and purchased by the Campbell Soup Company in the amount of $30 per ton. Campbell drafted the contract and it prohibited the Wentzes to sell to others. Clearly this contract was one-sided and it was in avor of the company.
2. Did the Wentzes perform under the contract?
No, the Wentzes did not perform under the contract. There was a breach of contract. They sold 62 tons of carrots to a farmer, who in turn sold some of those carrots to Campbell.
3.Did the court find specific performance to be an adequate legal remedy in this case?
N o. The court did not find specific performance as a legal remedy. The contract was clearly one-sided. Had the contract been less stringent and considered the Wentzes’ interest more, specific performance would have been a legal remedy. But because the court found that the contract was clearly in favor of the Campbell Soup Company, specific performance cannot lie.
4.Why did the court refuse to help Campbell in enforcing its legal contract?
The court refused to help Campbell enforce its contract because the court would be forcing an “unconscionable bargain” which clearly favoured one party, in this case Campbell, over the other. The court mentioned that the provisions of the contract, “drives too hard a bargain for the court of conscience to assist.”
In the future, Campbell should just simply say that they are willing to buy as many tons of carrots from the Wentzes at the contract price of $30 per ton, subject to any price increase or decrease due to external weather conditions. The contract which was deemed unconscionable created a monopoly of the carrots produced by the Wentzes. The additional provisions in the contract regarding those to whom it should sell “bad” carrots and the fact that it included that they could only sell to Campbell, proved that the contract was really in favor of Campbell only.
Constitutional Law Governmental Powers and Individual Freedoms
ISBN: 978-0135109502
2nd edition
Authors: Daniel Hall, John Feldmeier