Max goes to Books R Us to buy a book signed by Michael Jordan for $2500. Books
Question:
Max goes to Books R Us to buy a book signed by Michael Jordan for $2500. Books R Us advertises the signature as being authentic and provides a certificate of authenticity. When he goes to make the payment at the cashier, a variety of terms and conditions are printed in large and bold print on the wall and on the receipt that he is provided when he buys the book. Max sees but does not read the terms and conditions in the store and does not read the terms on the receipt. Max buys the book and takes it home. The terms and conditions that are printed on the wall in the store and on the receipt are identical. The terms and conditions are as follows:
- There are no returns on any items
- Any and all claims will be settled via mandatory arbitration in Columbus, Ohio
- You cannot resell anything you buy from Books R Us in Ohio or give to charity in Ohio
- You agree that all claims will be settled using the State of Ohio law
Answer the following questions:
- Is there a contract between Max and Books R Us? Briefly explain why.
- Which of the terms are part of the contract and which are not? Briefly explain why.
- Which terms(if any) are enforceable? Briefly explain why.
- Would Max be able to return the book two weeks later if he decides he no longer wants it?
- What remedies would Max have if he discovers a month later that the signature is counterfeit and the book is worth only $50?How does your answer change if books R Us knew the signature was counterfeit and still advertised it as being authentic?
Advanced Financial Accounting
ISBN: 978-0137030385
6th edition
Authors: Thomas Beechy, Umashanker Trivedi, Kenneth MacAulay