WRITE 2-3 PRAGRAPHS FOR YOUR RESPONSE. MAKE SURE YOUR EACH PARAGRAPH SHOULD HAVE AT LEAST 5 SENTENCES: Your Comments/Thoughts For Case Below s/Thoughts For CAQUR EACH PARAG CASE 12.1 Garziano v. Louisiana Log Home Co. United States Court of Appeals, Fifth Circuit, 569 Fed. Appx. 292 (2014. iStockphoto.com/crtaylor_photography FACTS Richard and Nancy Garziano contracted with and to remit to the Garzianos any funds paid on the Louisiana Log Home Co. (LLH) for a log cabin kit to be contract that were in excess of LLH's actual damages. delivered to them in Pass Christian, Mississippi. The contract required three installment payments. The REASON UCC 2-503(1) imposes a duty to "hold con- final payment, due at delivery, was to include the cost forming goods at the buyer's disposition and give the of transportation. Two days before delivery, LLH told buyer any notification reasonably necessary to enable the buyers that the final payment would be $7,686.43, the buyer to take delivery. The contract between LLH plus the transportation cost of $2,625.60. The Garzia- and the Garzianos provided that "all costs of transpor- nos replied that they thought they had paid off the bal- tation shall be borne by the purchaser" and that "ship- ance for the cabin and that they expected the shipping ping charges are paid directly to the trucking company costs to be lower. They refused to pay more, and LLH $ at the time of delivery by cash or personal check." The did not deliver the kit. The Garzianos filed a claim in a contract also specified an "F.O.B. Factory Price" with- federal district court against LLH, alleging that LLH had Can a purchaser of a out shipping costs of $43,656.43 for the log-cabin kit. breached the contract by failing to inform them of the log cabin kit refuse to These terms put the Garzianos on notice that they had price of delivery in a timely manner. The court issued a pay because the delivery not yet paid the full price for the kit and that they were charges seem excessive? judgment in LLH's favor and allowed the seller to keep responsible for the shipping costs. When LLH gave the Garzianos' first two installment payments and the log-cabin kit two days' notice in an attempt to deliver the goods, the Garzianos without determining the actual amount of damages suffered. The breached the contract by refusing to pay the balance due and the Garzianos appealed. shipping costs. "While the Garzianos may have been surprised at the size of the delivery fee, the notice provided to the Garzianos was not ISSUE Was LLH's notice in compliance with UCC 2-503? so deficient as to prevent them from effectively taking delivery so that their refusal to pay would be excused." DECISION Yes. The U.S. Court of Appeals for the Fifth Circuit affirmed the lower court's judgment. Because the lower court had not CRITICAL THINKING-Legal Consideration How might the par- determined the actual amount of LLH's damages, however, the appel- ties have avoided the dispute in this case? late court remanded the case to the lower court to make that finding