Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Christina entered into a written and signed contract with Fallon in which Fallon agreed to provide cleaning services for Christina for a total cost of

  1. Christina entered into a written and signed contract with Fallon in which Fallon agreed to provide cleaning services for Christina for a total cost of $1000.

  1. After the services had been performed, Christina was satisfied with the services but found out that she did not have the $1000. She sent Fallon a check for $700 on which she wrote, in full payment for services. Fallon deposited the check without making any further notations on it and sued Christina for $300. What result? Explain.

  1. Instead of the facts in (a), assume that after the services were performed, Christina and Fallon had a good faith dispute about whether the services had been properly performed. Christina believed that only $700 worth of services had been performed, while Fallon argued that she was entitled to the full $1000. After several weeks of arguing back and forth, Christina sent Fallon a check for $800 on which she wrote, in full payment for services. Fallon deposited the check without making any further notations on it and sued Christina for $200.
  1. What result? Explain.
  2. When she received Christinas check, what could Fallon do to ensure that she would have the right to sue for the full amount she claims is due?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Finance questions