Question
Customer Uncertainty. Wallace wanted baseball caps with the name of the firm of which he was president, ABC Corporation, emblazoned on the front. Fran, a
"Customer Uncertainty." Wallace wanted baseball caps with the name of the firm of which he was president, ABC Corporation, emblazoned on the front. Fran, a merchant in specialized goods, orally agreed with Wallace that she would sell to him 200 baseball caps at $5 each. No writing was ever made although there were a number of witnesses to the conversation. After the caps were finished, but before they were shipped, Wallace called to cancel the order because his firm had just announced a merger and would no longer be known as ABC Corporation. Fran told him to forget canceling the contract because she had just finished the caps. Wallace told Fran that she should have been smarter and had him sign something because without a writing, she does not have a chance in court. Fran is also having problems with other customers. A father who voluntarily coached a youth softball league in his community called and orally ordered 150 baseball caps at a cost of $400 each to give out at a league banquet. He just wanted a variety of caps with no name on them because players from different teams would be at the banquet. Fran had sent a confirming letter to the coach. Fran had the caps packed up and ready to go. Twenty days later, just before she shipped them, the coach called and told her that there was a big feud, the banquet was canceled, and that he was canceling the order. She believes that the coach should pay damages and that it is just that he do so because a big order was involved. Finally, Fran plans on taking to small claims court a merchant customer who orally ordered 500 plain T-shirts at a cost of $5 each but has not picked them up and has refused to do so after several demands. |
| Which of the following is correct regarding Wallace's assertion that Fran cannot recover the cost of the caps?
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