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Dante Guevara Business Law 2301 Student ID: 15xxxxx Assignment # 1 Case 3.3 I. Statement of Facts A.

Seven passengers got injured in an accident, when Robert Schlagenhauf was driving a Greyhound Corp. bus, and sued the driver and Greyhound. B. The passengers alleged that Schlagenhaufs vision were impaired and deficient. C. The plaintiffs requested the court to order the driver to get medically examination.

II. Decision (Should R. Schlagenhauf accept to get medical examination?) A. No

III. Rule of Law A. Driver was accused of poor vision, no other physical condition. B. The finding of fact only supports evidence of impaired and deficient vision, no medical condition. Case 4.5 I. Statement of Facts A. City of San Diego, CA. enacted ordinance prohibiting outdoor advertising display signs, including billboards, but onsite signs were excluded. B. The restriction was based on traffic safety and aesthetics. C. Metromedia, Inc. involved in leasing commercial billboards to advertisers sued the city alleging the ordinance was unconstitutional. II. Decision (Was the city zone ordinance unconstitutional?) A. No IV. Rule of Law

A. Commercial speech cannot be forbidden, but a city can subject this speech to time, place and manner restrictions. B. Only onsite signs were exempted and Metromedia, Inc. was in the business of leasing signs that displayed in premises upon which signs are not placed. Case 5.1 I. Statement of Facts A. During a game with his team The Baltimore Orioles, a baseball player Ross Grimsley while warming up by throwing pitches to a catcher, was being heckled by fans of the Boston Red Sox, the rival team. B. Grimsley threw the ball at the hecklers in the stand at about 80 miles per hour and hit David Manning, Jr., causing injury. C. Manning made liable Grimsley and his team and sued them. II. Decision (Are the team and Grimsley liable?) A. Yes. III. Rule of Law A. Throwing a ball at an unaware victim with the intent to cause harm is an instance of actionable battery. B. Grimsley caused injury to another person while representing his team on an official game. Case 9.1 I. Statement of Facts A. An agreement was made between G.S. Adams, Jr., vice president of the Washington Bank & Trust Co., and Bruce Bickham. B. Bickham agreed to do his personal and corporate business with the bank, and the bank agreed to loan Bickham money at 7.5% interest per year. Bickham was given 10 years to repay the loans. For the next two years, several loans were made to Bickham with a 7.5% APR. C. Adams resigned from the bank and the bank based on economic changes notified Bickham that his APR on both outstanding and new loans is being increased. Bickham sued the bank for breach of contract.


Decision (Was the contract a bilateral or a unilateral agreement?) (Does Bickham win?) A. Bilateral B. Yes


Rule of Law A. The contract was bilateral because of the agreement reached between the former vice president and Mr Bickham. B. Mr. Bickham wins because bilateral contracts can be altered only with the consent of both parties, and in this case the bank unilaterally broke the agreement with Mr. Bickham, and should have lived up to its obligations, despite the changing economic conditions.

Case 10.1 I. Statement of Facts A. A.H. and Ida Zehmer, husband and wife, were drinking with W.O. Lucy. Mr. Zehmer made a written offer to sell a 471-acre farm to W.O. Lucy for $50,000. B. Mr. Zehmer contended that he was joking when made the offer, said was trying to have Lucy to admit that he did not have $50,000. C. Lucy took the offer very seriously, even offered $5.00 to bind the deal, and had Mrs. Zehmer sign it. The Zehmers refused to perform the contract and Lucy brought this action to compel specific performance of the contract. II. Decision (Is the contract enforceable?) A. Yes III. Rule of Law A. A reasonable person viewing the circumstances would conclude that the parties intended to be legally bound. B. The evidence showed the Plaintiff was warranted in believing the contract represented a serious business transaction and a good faith sale and purchase of the farm. A person cannot say he was joking when his words and conduct would result in a reasonable person believing it was a valid agreement.

Case 10.6 I. Statement of Facts A. Glende Motor Company, a car dealer, leased property from certain landlords. One day a part of the leased premises got destroyed by fire and Glende restored the leasehold premises. B. The landlords received payment of insurance proceeds for the fire. Glende sued the landlord to recover the insurance proceeds. The landlords, ten days before the trial, offered a settlement for $190,000. C. Glende agreed to the settlement but only if a new lease is executed. The next day, the landlords notified Glende that they were revoking the settlement offer and thereafter Glende tried to accept the original settlement offer. II. Decision (Has there been a settlement of the lawsuit?) A. No III. Rule of Law A. A counteroffer by Glende terminated the landlords offer and the landlords were free to accept or reject the new offer. B. The landlords reject the counteroffer, there is no settlement. Case 11.1 I. Statement of Facts A. Clyde and Betty Penley were married. After eighteen years of marriage, Betty became ill and at that time Clyde had an automotive tire business and Betty owned an interest in a Kentuky Fried Chicken franchise. B. Betty requested Clyde begin spending more time at her franchise to ensure continue operation. Next, Betty agreed that Clyde devote his full time to the franchise, they would operate the business as a joint enterprise, share equally in the ownership of its assets, and divide its returns equally. C. Due to the agreement, Clyde closed his tired business and devoted his full time at the KFC franchise. Twelve years later, Betty abandoned Clyde and denied him any rights in the KFC franchise. Clyde sued to enforce the agreement with Betty. II. Decision (Is the agreement enforceable?)

A. Yes III. Rule of Law

a. Consideration is defined as something of legal value given in exchange for a

promise. The consideration must be some benefit to the party by whom the promise is made, or some detriment sustained at the instance of the party promising, by the party in whose favor the promise is made. b. Mrs. Penley promised Clyde equal share in the ownership of the assets and equal return of the profits. Based in this promise, Clyde abandoned his own business to devote his time in exchange of a promise. Consideration established, the agreement is enforceable.