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Case Scenario: Fun Sides ( FS ) is a produce and food company that specializes in selling avocados to Mexican restaurants in the states of
Case Scenario:
"Fun Sides" FS is a produce and food company that specializes in selling avocados to Mexican restaurants in the states of California, Nevada, and Arizona. FS buys
all of its avocados from "Big Green" BG a small farm company located in San Diego, CA Last year, FS bought pounds of avocados from BG which resulted in
a profitable year for both companies.
At the end of last year, FS signed a contract to buy pounds of avocados from BG in the next six months. After signing that contract, FS signed contracts with
local restaurants stating that they will deliver avocados to their locations by the established date.
At the beginning of the year, the San Diego area experienced extreme weather conditions and unexpected hailstorms, which destroyed most of the avocado farms.
BG farms were damaged badly to the point that they will not be able to fulfill FSs orders, they were only able to save pounds of avocados.
Last week, BG informed FS that they will not be able to fulfill the contract due to the unexpected events.
Questions:
Read Section "Performance and Discharge" Chapter pages After the damage that the extreme weather conditions caused in the San Diego
area, FS and BG decided to form a contract where FS will buy pounds of avocados from BG instead of the originally established. Both parties agree to the
terms and conditions of the contract and sign it Under what concept may this be allowed? Fully Explain and refer to the concepts in the Section listed above.
Read Section "Damages" Chapter pages Explain, in your own words, each of the four types of damages awarded by the courts, and then
provide a hypothetical situation where one of these damages would apply to the FSBG scenario. Hypothetically, which type of damage would apply and why? Refer
to the Section listed above.
Read Section a "Mistakes" Chapter pages Explain, in your own words, the three kinds of mistakes that may occur when a contract is formed.
Choose one of the three mistakes and provide a hypothetical situation where the mistake could have been made in the FSBG case scenario. Hypothetically, would
the contract still be enforceable or not enforceable and why? Refer to the Section listed above.
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