BUS 415 Week 4

Write a 500 to 750-word paper with detailed answers to one of the following scenarios:

Foodmart contracted with Masterpiece Construction to renovate the store on Main Street in My Town. Masterpiece, unable to complete the renovation within the 6-month time limit due to an increase in new contracts, subcontracted the job to Build Them to Fall Construction. Foodmart was unaware of the subcontract. When Foodmart realized, due to the poor quality of work, that Build was handling the renovation, Foodmart petitioned the court for an injunction and sued Masterpiece for breach of contract and specific performance. Masterpiece argued that it had a right to delegate the duties of the contract, or to discharge the contract due to commercial impracticability. Explain whether masterpiece can delegate the duties to Build Them to Fall Construction and will Masterpiece be liable for any poor quality work performed by the subcontractor. Explain whether masterpiece can discharge the contract due to commercial impracticability.

Brian McDonald spent his time away from work on his hobby, model trains. His train set was large and consisted of rare and one-of-a-kind trains. One day, while visiting with fellow train hobbyist Harry, Brian said, When I retire in 2 years from Foodmart, Im going to sell my trains and spend the rest of my life traveling on real trains. Brian told Harry that he was the only person he planned to offer his trains to, because he knew Harry would take care of them. Harry said he looked forward to the day when he could buy the trains. Harry spent the next 2 years and most of his savings building a new 2,000-square foot room onto his house to make room for the trains. When Harry told Brian he was building the new room, Brian just smiled. Brian also heard that Harry borrowed money from his aunt to buy the trains. When Brian retired, he sold his trains to his neighbor, James. Harry sued Brian, claiming breach of contract, or in the alternative, for promissory estoppel. Is there an enforceable contract? Why or Why not? Does Harry win under promissory estoppel? Why or Why not?

Week 4 DQ 1

Elaine and Roy are registered nurses. They want to start a home health agency, taking referrals from physicians and providing health care to homebound patients. They plan to be in business for 10 years. Identify the reasons why incorporation is an effective idea for their business, the steps they must take to incorporate their business, and the steps they must take to dissolve the corporation once the 10 years has passed.

Week 4 DQ 2

Tom inherited his fathers landscaping business, and incorporated the business after he read an article in Lawn News, advising landscaping businesses to incorporate. Tom has been sued by a customer, whose prize rose bushes were accidentally damaged by a landscaper. Tom called his attorney, Hector, to represent him in the lawsuit. When Hector asked for the corporate minutes, Tom said, What corporate minutes? Hector advised Tom that his personal assets could be taken if he lost the suit, but Tom said, No, dont worry! Im a corporation; I have no personal liability! Is Tom correct? Identify and discuss the legal principle that would be applied by a court to resolve this issue, and predict the outcome of the suit against Tom.