1. Hogan drafted a contract to build and sell a computer system to Link Inc. The monitor...
Question:
1. Hogan drafted a contract to build and sell a computer system to Link Inc. The monitor cost $300 and the computer cost $900, and the router cost $299 and the total due on the contract was $1,199. Explain the impact on the contract if:
a. Link Inc. saw the error, and happily paid, saving $300
b. Link Inc. did not pay attention to the math and paid- ignorant of the error.
c. Assume the total was $1,399 instead of $1,199, Link Inc. saw the error, and happily paid, saving $100. What difference would that make, if any?
2. Edna heated her house with a wood stove and ordered firewood from Landry's Firewood. For years, she ordered one cord of wood per month during the winter. However, last December Edna was busy, so her husband Ahmed, order the wood using Landry's convenient webpage. However, without realizing it, he inadvertently filled in "10" cords instead of one cord, and just clicked "confirm". Two days later they received a large delivery (picture) and a bill for $1,199 instead of $119. He quickly checked his email and say the confirmation email receipt that he had indeed ordered ten cords instead of one. He immediately called Landry to complain about the stupid webpage and demanded Landry pick up the extra nine cords and stated that he would not pay more than the $119. (apply general contract rules, not UCC)
a. Assume that Landry received the order, and delivered 10 cords of wood, as what was asked- is this an enforceable contract?
b. Would answer change if Landy saw the order, thought "No way they really want 10 cords, that can't be right- but that's what the order says" and delivered 10 cords of wood.
c. What difference would your answer in "a" above if the same facts except it was 3 cords of wood?
Construction accounting and financial management
ISBN: 978-0135017111
2nd Edition
Authors: Steven j. Peterson