Bus 226 Business Law Spring 2017: Directions And Answer

Bus 226 Business Law Spring 2017name Directions1answer

Answer four of the following eight questions: explain how the Uniform Commercial Code (UCC) allows contracts for the sale of goods to be less definite than common law, discuss the legal options when discovering improperly sewn shirts in a shipment, differentiate manufacturing and design defects in product liability, analyze factors in classifying Jeb as an employee or independent contractor, explain limited liability for shareholders and its benefits, compare sole proprietorship, professional corporation, and partnership including examples, analyze legal issues in the shipment of double the ordered widgets, and evaluate Tesla's liability for delayed delivery causing business losses.

Paper For Above instruction

The Uniform Commercial Code (UCC) significantly facilitates commercial transactions by permitting contracts for the sale of goods to be conducted with less strict definiteness than those governed by common law. This flexibility allows businesses to engage in negotiations without the necessity of detailed terms upfront, fostering efficiency and enabling quicker deal-making processes. For example, a startup company might agree to purchase a batch of custom-designed electronic components from a manufacturer with only a general description and price point specified, leaving finer details to be settled later or through performance. This adaptability under the UCC streamlines commerce, especially in industries with fast-changing product specifications, allowing businesses to respond swiftly to market demands without being bogged down by overly rigid contractual requirements.

When a business receives a shipment of goods with improperly sewn shirts that do not meet quality expectations, several legal options are available. The buyer can invoke breach of express warranty if the seller explicitly promised quality standards, or rely on the implied warranty of merchantability, which presumes goods are fit for ordinary use. If the shirts are fundamentally defective, the buyer may pursue damages for breach of warranty, request replacement, or demand rescission of the contract. Additionally, if the defect constitutes a breach of the implied fitness for a particular purpose, damages can be sought. In this scenario, I would opt to negotiate for a replacement shipment or a refund, considering the defective shirts' impact on my business reputation and inventory costs. Litigation might be necessary if the seller refuses to cooperate, but settlement negotiations often provide quicker resolution.

Product liability claims distinguish manufacturing defects from design defects. A manufacturing defect occurs when a product deviates from its intended design due to an error during production, resulting in a dangerous product, such as a batch of contaminated medication. Conversely, a design defect exists in the original blueprint of a product that renders all units inherently unsafe, like a car model with a poor crash safety structure. Remedies for victims include damages for personal injury or property damage, and potential product recalls for widespread defects. Manufacturers may also be held liable through strict liability doctrines, emphasizing the importance of safety in product design and manufacturing processes.

Determining whether Jeb is an employee or independent contractor involves multiple factors. Courts consider the degree of control exercised over Jeb’s work, whether Jeb supplies his own tools, the method of payment, the permanency of the relationship, and whether Jeb’s work is integral to OIT’s business. In this scenario, if Jeb follows OIT’s directives closely, uses OIT’s equipment, and works on a schedule dictated by OIT, the court may lean towards classifying him as an employee for benefits and liability purposes. Conversely, if Jeb operates his own equipment, sets his own hours, and has a degree of independence, he may be deemed an independent contractor. Based on typical arrangements for snow removal services, I would expect the court to classify Jeb as an employee due to the controlled nature of the work and the ongoing relationship, which aligns with employment factors.

References

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