The University of Southern Alberta wanted to upgrade its football stadium. Rather than grass, it wanted a
Question:
The University of Southern Alberta wanted to upgrade its football stadium. Rather than grass, it wanted a field made from a long-lasting, synthetic material that would not easily wear down and that would not discolour under the warm Alberta sun. It also wanted the turf to be purple, rather than green, in order to reflect the school's colours. It explained its needs to Cyber-Turf Inc, an artificial turf company located in Calgary. The sales representative from Cyber-Turf assured the university that it would be able to develop such a product. The parties then entered into a contract. The university agreed to pay $100 000 and Cyber-Turf agreed to manufacture the turf within six months. Approximately six months later, the company informed the university that the new turf was finished and that it was being stored on the company's back lot. The university promised to collect the purple carpet within one month and to provide payment at that time. The company agreed to that arrangement. Two weeks later, however, the Calgary area was hit by a severe rainstorm, followed by six days of intense sunlight and heat. The combined effect of the rain and the sun badly discoloured portions of the new turf, from bright purple to light blue. Consequently, when the university came to collect the turf a week later, it refused to take delivery. Cyber-Turf, in contrast, insists that it is entitled to the purchase price and that the new turf, whatever its condition, is solely the university's concern. Discuss the parties' rights and liabilities.
Step by Step Answer:
Managing the Law The Legal Aspects of Doing Business
ISBN: 978-0133847154
5th edition
Authors: Mitchell McInnes, Ian R. Kerr, J. Anthony VanDuzer