contra made by individuals in specific types 11. How does undue influence differ from duress? of relationships. Why is this so? 12. Identify the situations where duress may be raised as a legal means for avoiding a contract, Mini-Case Problems 1. A and B entered into a verbal agreement whereby A would sell an automobile to B for $6,500. B drew 4. An industrial bakery agrees to supply one hundred up a written agreement (which A and B signed) thousand loaves of bread monthly to a major that set out the price as $6,000. A failed to notice Canadian grocery chain at a price of $1.00 per loaf. the change at the time of signing the agreement. Before deliveries begin, the baker rethinks the deal, What advice would you give A? feeling it should have charged more. On review, it 2. How would your answer to question I differ if discovers that the contract recites "one hundred" A was illiterate and B read the contract aloud to loaves of bread monthly at $1.00 per loaf. What him, stating the price to be $6,500 instead of the recourse will the grocery chain have if the bakery $6,000 price set out in the written agreement? refuses to honour its price beyond 100 loaves? 3. At a sports bar, Martin offers to sell an 5. Eric, at age 80, owns a large property of about 100 authentic Wayne Gretzky Edmonton Oilers forested acres, half of which is covered with walnut hockey jersey to his friend Alfred for $400. and butternut trees he had planted as a boy. Eric Unknown to both, Martin's dog at home has is approached by a real-estate agent who tells him just finished shredding the jersey. Carl arrives at he has a client who is looking for land with trees the bar, and hearing of the deal, tells Alfred he where a new house can be built. Eric severs the treed half of his property and sells it, and the new has previously seen the jersey, and that it is not 'game-worn" by Gretzky, but rather a current owner builds a family home. In talking with his new neighbour, Eric discovers to his horror that the authorized production official replica jersey, made buyer is the owner of a custom sawmill, and intends by an NHL-licensed supplier. What legal principles to cut down all of the hardwood trees for furniture apply to this deal? and veneer. Does Eric have any recourse? Case Problems for Discussion CASE 1 An industrial firm purchased a rivet-making machine shifts, or just one. The firm was running only one pro- from a distributor whose advertising materials claim duction shift, and could not afford to consider 24-hour that the machine will produce up to 300,000 rivets per operations. day. After purchase and installation the firm discovers Discuss the legal issues that apply here, and what that the machine, at maximum settings, will produce only factors might influence a judge to decide the case in 100,000 rivets per day. After an exchange of e-mails, the favour of one party over the other. distributor asked if the firm was running three 8-hour CASE 2 Chamberlain of Chamberlain's Antiques carried on busi- When Chamberlain arrived, Mrs. Lyndstrom took ness as a used-furniture dealer. He would occasionally him to each room and indicated the furniture that she purchase all of the furnishings in a person's home if intended to sell. Chamberlain listed the different items the person was leaving the country or moving a long by groups, such as "all chairs and table in kitchen," or distance. "bedroom suite in front bedroom." When they reached Mrs. Lyndstrom, an elderly widow, indicated to the living room, Mrs. Lyndstrom said, "all the furniture Chamberlain that she intended to sell her home and in here," and Chamberlain recorded, "all furniture in furniture, as she was planning to move into her daugh- living room." Chamberlain offered $3,500 for the lot ter's home to live with her. Chamberlain expressed an when the list was complete. Mrs. Lyndstrom agreed, and interest in purchasing her furniture, so an appointment Chamberlain added to the bottom of the list: "Agreed was arranged for Chamberlain to examine the contents price of all above furniture, $3,500." Both signed the of her home. document