Ethics and business low | Sociology homework help


It consists of 5 short essay questions. Each question is worth 3 points. You will have 2 hours to complete the exam.

 key issues covered include 1) contract formation under the common law and the UCC; 2) when, if ever, does acceptance occur when the products delivered are damaged and there is an issue over payment; 3) what are the differences between agency and the various ways in which an agency relationship comes about versus an independent contractor; 4) must all contracts be in writing; 5) what are ethical conflicts to a company selling a product that potentially harms it users. 


  1. Robot Products, Inc.,      offers to sell to Unlimited Sales Company one hundred iRobot vacuum      cleaners at $200 a piece, subject to certain specific delivery dates.      Unlimited Sales Company replies with a signed purchase order that reads,      “Accept your offer for 100 iRobot vacuum cleaners at $200 each. Must be      delivered to our warehouse.” 

Robot Products does not respond or deliver the goods. Unlimited files a suit for breach of contract, to which Robot Products answers that there is no contract because Unlimited’s purchase order contained additional terms and is not signed by Robot Products, Inc. 

Can Unlimited recover? Explain under Article-2, Sale of Goods, Uniform Commercial Code (UCC) and the common law of contracts. ​ 

  1. Signal Sets Company      contracts to deliver one hundred 52-inch plasma high-definition television      sets to a new retail customer, Tuner TV Store, on May 1, with payment to      be made on delivery. Signal tenders delivery in its own truck. Tuner’s      manager notices that some of the cartons have scrape marks. Tuner’s owner      phones Signal’s office and asks whether the sets might have been damaged      as they were being loaded. Signal assures Tuner that the sets are in      perfect condition. Tuner tenders Signal a check, which Signal refuses,      claiming that the first delivery to new customers is always for cash.      Tuner promises to pay the cash within two days. Signal leaves the sets      with Tuner, which stores them in its warehouse pending its “Grand      Opening Sale” on November 15. Two days later, Tuner’s stocker opens      some of the cartons and discovers that a number of the sets are damaged      beyond ordinary repair. Signal claims Tuner has accepted the sets and is      in breach by not paying on delivery. Will Signal succeed on these claims?      Explain.
  2. Roman is the chief      executive officer of Salty Snax Corporation.  Roman’s      responsibilities include decisions on product development, marketing, and      other significant business directions. Roman is subject to the approval      and oversight of Salty Snax’s board of directors.  Teri is a Salty      Snax manager whose duties include the firm’s day-to-day hiring, firing,      purchasing, and selling.  Umberto is a Salty Snax salesperson, whose      daily activities are controlled by Teri.  Velma writes sales manuals      and promotional materials for Salty Snax’s products according to Roman’s      instructions and subject to Salty Snax’s control, but has no dealings with      the company’s customers or suppliers.  Warren writes copy on a      contract-per-project basis and is not otherwise subject to Salty Snax’s      control.  Who is a principal?  Who is an agent?  Who is an      employee?  Who is an independent contractor? ​
  3. Juan, a businessperson, is a friend      of Laura, the owner of a coffee and baked goods store.  Every day,      Juan spends around ten minutes in Laura’s store, looking at the baked      goods and usually buying one or two items.  One afternoon, Juan goes      into the store, looks at the items, and picks up a $3 chocolate chip      cookie.  Juan waves the cookie at Laura without saying a word and      walks out.  Laura sees Juan wave the cookie and says nothing.  Is      there a contract?  If so, how would it be classified in terms of      formation, performance, and enforceability? ​

After answering the above question, now, assume the same facts as above, except the next time Juan comes into the bakery, Laura shouts out: “Hey, Juan you owe me some money for that chocolate chip cookie. Pay my sister the next time you see her.” What result?

  1. Recreation & Sports      Equipment Corporation sells a product online that is capable of seriously      injuring consumers who misuse it in a foreseeable way. Does the firm owe      an ethical duty to take this product off the market? What con­flicts might      arise if the firm stops selling this product? ​

Apart from the ethical duties, might a government agency step in and examine any claim of harm?

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