Lionel Beckham, an aging local soccer superstar, is out one day running errands. He decides to go
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Shortly after entering the mall, Lionel saw kids running through the mall kicking a soccer ball around. After spotting Lionel, the kids started chanting his name and demanded that he play with
them. The kids kicked the ball to Lionel and he, never wanting to disappoint his fans, took three huge steps to kick the ball right back to them. Unfortunately, on Lionel's third step, he stepped in the spilled pop, slipped, and landed very hard on his right knee. Lionel was immediately taken to the hospital where several doctors determined he cracked his right knee. The doctors ended up writing a joint medical report stating that:
1. Lionel cracked his knee because of the slip and fall;
2. The typical time for healthy adults to recover from a cracked knee is 2 months;
3. Because of Lionel's extensive use of his legs at soccer, his knees were more prone to injury and would have a longer recovery period (i.e., 6 months, not 2 months).
4. Lionel would be in immense pain for 1 month, but thereafter would only experience a dull ache which would disappear entirely at month 6;
5. Lionel would need to attend physiotherapy at a cost of $10,000 / month, but would not need any other medical interventions of any kind; and
6. Lionel would have full mobility during his recovery; he just couldn't play soccer competitively.
At the end of the 6 months, he would be fully recovered and could continue to play competitively without issue.
Lionel was devastated. Not only would he lose his $100,000/month salary while he couldn't play, but he was also going to miss his last chance to finally qualify for Canada's world cup team which
was set to be determined 4 months from now. His agent estimated Lionel would have made approx. $1,000,000 in sponsorship deals if he finally made the team! Six months pass. As it turned out, the doctors report was 100% correct. Lionel is now back to playing competitive soccer, but, unfortunately, was not selected to play in the World Cup. Lionel sues the mall. What is the basis for Lionel's claim against the mall, can he prove his claim, and what are the damages, if any, likely to be awarded to him?
HINT - Be sure to consider any defenses available to the Mall.]
The terms, which were sloppily written on a napkin**, were:
1. Fleetwood will buy Mac's dumb truck (SN - 12345z) for $100,000;
2. Mac will deliver dump try to safe spot on Fleetwood's property;
3. Fleetwood pays Mac $100K no later than 6 months after Truck delivered;
4. The Truck will be delivered within 10 days of today;
5. If the dump truck is not delivered to Fleetwood's property by the end of day 10, Mac will pay Fleetwood $250K in liquidated damages.
Fleetwood and Mac both signed and dated the napkin then stumbled home.
Three days later, Fleetwood, now sober, reached into her pocket and finds the napkin. She had completely forgotten about the deal! Fleetwood immediately scanned the napkin and sent an email with a copy over to Mac, writing "A deal's a deal!!" Can't wait to get my new "dumb truck" LOL. Let's not drink that much again any time soon".
Mac never responds to the email.
On day 9, Fleetwood walked out of her house first thing in the morning and noticed the dump truck was sitting in a ditch at the front of her property. The keys were in the ignition and, other than one side of the truck being covered in graffiti, was in proper working order.
Fleetwood immediately emailed Mac and wrote:
"Mac - The truck was not delivered to a "safe spot" and I do NOT want a truck with graffiti on it. It'll cost me $5K to get the truck out of the ditch and another $5K to paint over the graffiti. Come pick it up NOW and bring me a cheque for my $250K in damages. It should go without saying, but I AM NOT paying you your $100K." Mac wrote back 10 minutes later telling Fleetwood that he wasn't going to be picking up the truck, that he wanted his $100k immediately, and that Fleetwood could deal with his lawyer on a go forward basis.
The parties sue each other. What damages, if any, does Mac owe Fleetwood? What damages, if any, does Fleetwood owe Mac? Why?
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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