Download Breach of Contract - Contracts - Exam and more Exams Contract Law in PDF only on Docsity! EXAM#____________ Page 17 of 18 Chuang: Contracts I, Final, FA 11 Part II: Essay Question (60 points total) Recommended Time: 2 hours NOTE: You must answer both questions to be eligible for full credit. This exam is intended to test only material covered in Contracts I. Do not discuss matters we have not addressed. THESE FACTS PERTAIN TO ALL QUESTIONS: Bonnie is the chef-owner of RED, San Francisco’s top grossing restaurant. Each year, Bonnie has a “Lobsterfest” night at the restaurant that features all kinds of lobster dishes. The event is very popular and always sells out. This year’s Lobsterfest is scheduled for November 2, 2011. Bonnie has the following email exchange with Sam, a well-known seafood supplier located in Boston, MA: Sender Recipient Date Text SFChef@gmail.com Sam@gmail.com Oct. 10, 2011 I need a quote for 300 lbs of wild Maine lobster. –B. Sam@gmail.com SFChef@gmail.com Oct. 11, 2011 Price depends on date of delivery. Once we confirm dates, I will forward you a sales agreement for this quantity.—Sam. Upon receiving Sam’s email, Bonnie calls Sam. Bonnie tells Sam: “I’m thinking delivery for a November 2 event.” Sam replies: “All our lobsters are wild-caught, so our supplies vary. I’ll have to check with the warehouse to confirm inventory, but for November 1 delivery, we can ship for $5000.” Bonnie replies: “Sounds good.” The parties then exchange the following emails: Sender Recipient Date Text SFChef@gmail.com Sam@gmail.com Oct. 15, 2011 I’m glad we had a chance to speak by phone. As discussed, I’ll take 300 lbs of wild Maine lobster, Nov. 1. Please confirm in writing so I can prepare a purchase agreement. I’d also love to talk about how our businesses can work even more closely together. Sam@gmail.com SFChef@gmail.com Oct. 15, 2011 Super. A written agreement was never executed. Between October 16 and November 1, Bonnie sells $100,000 worth of tickets for Lobsterfest. She also hires the B-52s, a well-known rock band, to perform at Lobsterfest for $50,000 (non-refundable). Sam does not deliver the lobsters on November 1 and Bonnie is forced to cancel Lobsterfest at the last minute, refund the ticket holders, and forfeit the band’s fee. QUESTIONS FOLLOW ON NEXT PAGE
