BUSINESS LAW QUESTION Answer with a complete IRAC analysis for the following case. IRAC is Issue, Rule, Analysis, Conclusion. Issue: identify issues in both of the situations for Joseph and IIlya Rule: (include every rule of law that applies) Analysis: (Explain how the rules apply and why) Conclusion: (Say how the court would rule the problem)

1. Joseph is the owner of #OnTrend, a trendy coffee shop in the West Village. Realizing the increasing demand for avocado toast, Joseph entered a contract with Ilya, a fresh produce supplier. The written contract specified that on November 7th, Ilya will deliver 20 pounds of avocados at $10 per pound. On November 7th, Joseph got the avocado delivery and discovered that about 40% of the avocados are defective and nearly rotten. Joseph called Ilya offered to pay $100 for the entire batch. Ilya refused and hang up. Joseph then mailed Ilya a check for $100 in full settlement of the claim. Ilya cashed the check but before endorsing he added: without prejudice. a. Ilya sues Joseph for the remaining $100. Joseph claims that the entire debt is discharged. Judgment for whom? Explain. b. Assume instead that the contract between Joseph and Ilya included the following provision: In case of a breach, the breaching party will pay the non-breaching party $5000. Joseph sues Ilya for breach and demands the $5000 payment. Judgment for whom?