The Cardigan family has made a name for themselves in the sweater industry where

Question

The Cardigan family has made a name for themselves in the sweater industry whereby they have designed sweaters for a variety of uses and for a wide target audience ranging from toddlers to business professionals. Cassandra, whom everyone calls Cassie, is the CEO of CARDWARE Inc., Camoni is the spokesperson for the sweater line, and Candie models the lines in the professional sphere. They often use their mother, Camille, as a business consultant for input about various new ideas and marketing because she was the manager and agent of her son’s glove company. Cora and Caley, Camille’s two youngest daughters from her second failed marriage to Bo Jenkins, are co-office managers of their headquarters located in Silkadonia.

Camille has developed a good network among those in the fashion industry, especially the seamstresses who have been hired by well-known celebrities. One day, Camille spoke with Sonya, the owner and Lead Seamstress for Shazam Clothing Industries. Shazam is a leading manufacturer of unique limited edition clothes in Silkadonia. Camille presented Sonya with her order to sew a limited number (500) of hot pink and black machine knitted sweaters with a matching knit hat. Each sweater was to have a number and Candie Cardigan’s signature on a label sewn onto the bottom right side of the sweater. The hats would have the same label with matching number to its sweater, but sewn on the right side of the turned up hat cuff. Sonya agreed to make each sweater and hat pair for $100. Camille’s plan was to sell each set for $300 thereby making a $200 profit per set. While discussing the type of yarn to be used, Sonya’s cell phone rang. Sonya pushed a piece of paper and a color palette towards Camille and whispered “write the type of yarn you want used and exact dye lots” and I will begin work on this right away. Camille did as requested, but forgot to give Sonya the traditional 25 % down payment. The down payment has always been used to purchase the materials.

Sonya completed production of all 500 sweaters in record time and has presented Camille with an invoice for payment for the same. At the bottom of the invoice, the words, “Payment Due Upon Receipt” were written. Camille changed her mind about wanting the sweaters and hats, as she decided that the items would not be as profitable as originally anticipated. Sonya now comes to the law firm you work for, P. Strami, and Hammond, Attorneys at Law, and wants to know if she has any recourse. Attorney Strami hands you the following instructions and asks that you draft a memorandum to him incorporating your research.

Dear Paralegal:

Please prepare a 2–3-page double-spaced memorandum in size 12 Times New Roman font discussing the following in the order presented:

Please determine whether or not a contract has been formed using the basic contract principles of offer, acceptance, and consideration. State whether or not any of the crucial parts of the initial offer may be missing.

Further, please research whether or not Camille and Sonya’s prior course of dealings has an impact on the parties’ communications and whether or not Sonya would be successful against CARDWARE Inc. should a breach of contract lawsuit be brought against her.

Do not forget to provide your legal research within your memorandum. You may use case law to make comparisons, your textbook, and reliable Internet research to provide in-text citations for your work. Do not use Wikipedia.

Explanation / Answer

Preliminary research on Sonya’s case

From:

To: Attorney Strami

Date: 24 - March - 2015

Subject: Initial findings in Sonya's fraud case

With the whole story recited by Miss Sonya, it seems to have some illegal aspects of the business deal. There are traces of irregularity and non-compliances with the present law. The whole deal was discussed in an informal manner, mostly as like a friendly discussion. Moreover, there is no evidence that any third party or external consultant had been used.

The first impression of the case shows that Miss Camille was knowing the victim (Miss Sonya) personally since Camille has a good network among the fashion industry people, so its admissible that Sonya can be one of them. It's quite noticeable that, the day, Camille talked with Sonya, the manager and Lead Seamstress for Shazam Clothing Industries. Shazam is the main producer of one of a kind constrained version garments in Silkadonia. Camille gave Sonya her arrange to sew a predetermined number (500) of hot pink and dark machine sewed sweaters with a coordinating weave cap. But this discussion was not having any written work or any signed legal papers. So there is no formal offer letter has been offered by Miss Camille to Sonya. This is important to note that an offer is a sign by one individual to an alternative of their eagerness to contract on specific terms without further arrangements. A contract is then structured if there is express or suggested understanding. A contract is said to start to be when acknowledgement of an offer has been imparted to the “Offeror” by the “Offeree”. An offer is a declaration of ability to contract on specific terms, made with the proposition that it should get to be tied when it is acknowledged by the individual to whom it is tended to, the "offered" [G.H. Gretel, The Law of Contract, tenth end, p.8].

Most crucial part is that there is no written evidence of offer letter present with Miss Sonya. As Sonya was busy on a call she just asked Miss Camille to give the requirements for a piece of coloured paper. But that requirement is not a legal paper or formal offer or customer requirement dossier. But in the case of absence of any written contract, that paper can be used a "proof", against CARDWARE Inc. Also, no down payment has been done, which is quite common and traditionally in the business deals. This may have been done intentionally also.

The "intention" alluded to in the definition is equitably judged by the courts. The English instance of Smith v. Hughes (1871) LR 6 QB 597 accentuates that the critical thing is not a party's genuine plan, however, how a sensible individual would see the circumstance. This is because of an ability to think as every gathering would not wish to break his side of the contract on the off chance that it would make him or her punishable to harms, it would particularly be in spite of the rule of assurance and clarity in business contract and the subject of error and how it influences the contract. As an acknowledgement must be imparted, the offerer can exclude an Acceptance by Silence provision. This was attested in the Felthouse v Bindley, here an uncle made an offer to purchase his nephew's steed, saying that in the event that he didn't hear whatever else he would "consider the stallion mine". This did not remain up in court, and it was chosen there couldn't be an acknowledgement by a hush.

The traditional standards are outlined in the remarkable instance of Carlill v. Carbolic Smoke Ball Company.

With the present scene yes! the Camille and Sonya’s prior course of dealings has an impact on the parties’ communications. Practically speaking, what regularly happens is that a contract will emerge from verbal assertions or will just be somewhat reported. Case in point, a contract may take the type of a buy arrange, a trade of messages or a straightforward letter of understanding. Be that as it may, as the most widely recognized contractual debate is a difference over the terms of a contract, it is ideal for contractual game plans to be composing. In contractual terms followings things are to be clear and is also present in this case, those are : Terms, Price, Services, Goods Moreover, the case seems may backlogs as many shreds of evidence are not present, still some key pieces of evidence are there which can help Sonya to hold a strong position in the case and help her to file a case of breach of contract and fraud against CARDWARE Inc. Further inquiry will definitely boost her case as many things can be obtained with the help of police and cyber teams.

References:

The University of Melbourne, Contracts & Agreements Compliance Guide, Retrieved from -

nimelb/compliance/compliancematerials/Contracts%20&%20Agreements%20Compliance%20Guide

Contracts Law: Offer and Acceptance, (e-article), Retrieved from -

4lawschool/contracts101/offer

What Are the Basic Principles of Contract Law? (e-article), Retrieved from -

wisegeek/what-are-the-basic-principles-of-contract-law

KINDLY RATE THE ANSWER AS THUMBS UP. THANKS A LOT.

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