20.6 Additional Provisions Affecting Remedies. Nomo Agroindustrial Sa De CV is a company based in Mexico that
Question:
20.6 Additional Provisions Affecting Remedies. Nomo Agroindustrial Sa De CV is a company based in Mexico that grows vegetables to sell in the United States. In the early 2000s, Nomo had problems when its tomato plants contracted a disease: tomato spotted wilt virus (TSWV). To obtain a crop that was resistant to TSWV, Nomo contacted Enza Zaden North America, Inc., an international corporation that manufactures seeds. Enza’s brochures advertised—and Enza told Nomo—that its Caiman variety was resistant to TSWV. Based on these assurances, Nomo bought Caiman seeds. The invoice, which Nomo’s representative signed, limited any damages to the purchase price. The plants germinated from the Caiman seeds contracted TSWV, destroying Nomo’s entire tomato crop. Nomo filed a suit against Enza, seeking to recover for the loss. Enza argued that any damages were limited to the price of the seeds. Can parties agree to limit their remedies under the UCC? If so, what are Nomo’s best arguments against the enforcement of the limitations clause in Enza’s invoice? What should the court rule on this issue? Why? [Nomo Agroindustrial Sa De CV v. Enza Zaden North America, Inc., 492 F.Supp.2d 1175 (D.Ariz. 2007)]
Step by Step Answer:
Business Law Today Comprehensive
ISBN: 9780324595741
8th Edition
Authors: Roger LeRoy Miller, Gaylord A Jentz