Business Law Case Review

Contracts Case Assignment

Scenario 1

The initial offer between Beth and the Human Resource Manager was for her to start immediately, the next morning. The salary offered was $55,000 per year for 45 hours per week, working Monday through Saturday. The law that I will be applying to this scenario is the Common Law of Contracts. This law typically applies to services. Since the Human Resource Manager offered Beth employment, it is considered a service. There are four elements that are required in order to have a valid contract. The first element is an agreement. According to our lecture, the term agreement can be defined as “a meeting of the minds”. Both parties, the offeror and offeree, must agree to the exact terms of contract in order for it to hold validity. In Beth’s case, she did not agree to the exact offer from the Human Resource Manager. Instead, she accepted the offer but put stipulations on the days she would work, therefore they do not have a valid contract. The other three elements required to form a valid contract were met. For consideration, the exchange of value, or mutual benefit was employment and in return she would be compensated. The circumstances of the agreement were legal, and it was not noted that Beth was incompetent.

Scenario 2

Lee decided he wanted to have a completely renovated kitchen. He wanted everything custom designed specifically to liking. He interviews Cal for the positions and receives an estimate. Since there are goods and services involved in this scenario, both the Common Law of Contracts and the Uniform Commercial Code Article 2 would apply. The next step in determining which law will be applied is to use the Predominant Factor Test. This test will determine which cause brought the two parties together. Lee searched for someone to renovate his kitchen; therefore, services brought the two together. The first element in deciding if Lee and Cal formed a contract is agreement. As stated in the previous scenario, in...