law 350 answer the questions 3- myassignmentgeek.net
law 350 answer the questions 3- myassignmentgeek.net
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May
Short Essay/Answer Questions (12.5 points each)
1. The law firm where you work as a paralegal is representing Perez, Inc. (Perez), a roofing
contractor. In January 2006, Perez hired Wide Thomas as a salesperson. Thomas was assigned a
geographic territory and was responsible for securing contracts for Perez within her territory.
The employment contract provided that Wide was to receive a 26 percent commission on the
net profits from roofing contracts she obtained. The contract contained the following provision:
“To qualify for payment of the commission, the salesperson must sell and supervise the job; the
job must be completed and paid for; and the salesperson must have been in the continuous
employment of Perez, Inc., during the aforementioned period.†In July 2007, Thomas obtained a
$129,603 contract with the Board of Education of Cook County for Perez to make repairs to the
roof of the Lynn School in Evanston, Illinois. During the course of the work, Thomas visited the
site more than 60 times. In January 2008, before the work was completed, Perez fired Thomas.
Later, Perez refused to pay Thomas the commission when the project was completed and paid
for. Thomas sued Perez to recover the commission. Is there anything in this contract that
would bring about the excuse of a condition? Who do you think would win in this dispute?
2. Marc Halpern hired O.S. Otto, an attorney, to draft his will. The will named Benjamin Berkowitz
and others (Berkowitz) as beneficiaries. When Halpern died, it was discovered that the will was
improperly drafted, violated state law, and was therefore ineffective. Halpern’s estate was
transferred pursuant to the state’s intestate laws. Berkowitz did not receive the $75,000 he
would have otherwise received had the will been valid. Berkowitz sued Otto for breach of the
Halpern-Otto contract to recover what he would have received under the will. Who wins? Why?
3. Shumann Investments, Inc. (Shumann), hired Pace Construction Corporation (Pace), a general
contractor, to build “Outlet World of Pasco County.†In turn, Pace hired OBS Company, Inc.
(OBS), a subcontractor, to perform the framing, drywall, insulation, and stucco work on the
project. The contract between Pace and OBS stipulated: “Final payment shall not become due
unless and until the following conditions precedent to final payment have been satisfied… (c)
receipt of final payment for subcontractor’s work by contractor from owner.†When Shumann
refused to pay Pace, Pace refused to pay OBS. OBS sued Pace to recover payment. Who wins?
Why?
4. Abdulaziz Almudaymigh, who owned several small warehouses, contracted with Tihirah Levy,
Inc. (Levy), to construct a road to the warehouses. The contract price was $42,324. AfterLevy
completed the work, some cracks appeared in the road, causing improper drainage. In addition,
“birdbaths†that accumulated water appeared in the road. When Almudaymigh refused to payLevy sued to recover the full contract price. Almudaymigh filed a cross-complaint to recover the
cost of repairing the road. Who wins? Why?
5. The Darren Allen Telephone Company entered into a contract with Microform Data Systems,
Inc. (Microform), for Microform to provide a computerized assistance system that would handle
15,000 calls per hour with a one-second response time and with a “nonstop†feature to allow
automatic recovery from any component failure. The contract called for installation of the host
computer no later than mid-February of 2015. Microform was not able to meet the initial
installation date, and at that time, it was determined that Microform was at least nine months
away from providing a system that met contract specifications. The Darren Allen Telephone
Company canceled the contract and sued Microform for damages. Did Microform materially
breach the contract to allow recovery of damages?
6. Raquel Welch was a movie actress who appeared in about 30 films over a 15-year period. She
was considered a sex symbol, and her only serious dramatic role was as a roller derby queen
in Kansas City Bomber. During that time period, Michael Phillips and David Ward developed a
film package based on the John Steinbeck novella Cannery Row. Metro-Goldwyn-Mayer Film
Company (MGM) accepted to produce the project and entered into a contract with Welch to
play the leading female character, a prostitute named Suzy. At 40 years old, Welch relished the
chance to direct her career toward more serious roles. Welch was to receive $250,000 from
MGM, with payment divided into weekly increments during filming. Filming began, but three
weeks later MGM fired Welch and replaced her with another actress, Debra Winger. Welch sued
MGM to recover the balance of the $194,444 that remained unpaid under the contract. Who
won? Why? Be specific and cite to the court’s reasoning in the “real case.†Welch v. Metro-
Goldwyn-Mayer Film Co., 254 Cal. Rptr. 645. Opinion attached in Canvas.
7. Anita Baker, a then-unknown singer, signed a multiyear recording contract with Beverly Glen
Music, Inc. (Beverly Glen). Baker recorded for Beverly Glen a record album that was moderately
successful. After having some difficulties with Beverly Glen, Baker was offered a considerably
more lucrative contract by Warner Communications, Inc. (Warner). Baker accepted the Warner
offer and informed Beverly Glen that she would not complete their contract because she had
entered into an agreement with Warner. Beverly Glen sued Baker and Warner, and it sought an
injunction to prevent Baker from performing as a singer for Warner. Is an injunction an
appropriate remedy in this case? Why?
8. Walgreen Company began operating a pharmacy in the Southgate Mall in Milwaukee when the
mall opened. It had a lease for a 30-year term that contained an exclusivity clause in which the
landlord, Sara Creek Property Company (Sara Creek), promised not to lease space in the mall to
anyone else who wanted to operate a pharmacy or a store containing a pharmacy. With 11
years left on the Walgreen-Sara Creek lease, after its anchor tenant went broke, Sara Creek
informed Walgreen that it intended to lease the anchor tenant space to Phar-Mor Corporation.
Phar-Mor, a “deep discount†chain, would occupy 100,000 square feet, of which 12,000 square
feet would be occupied by a pharmacy the same size as Walgreen’s. the entrances to the two
stores would be within a few hundred feet of each other. Walgreen sued Sara Creek for breach
of contract and sought a permanent injunction against Sara Creek’s leasing the anchor premises
to Phar-Mor. Do the facts of this case justify the issuance of a permanent injunction? Did Sara
Creek act ethically in not living up to the contract with Walgreen