Question
Greg, a consumer in Tennessee, sent a purchase order to Campbell Manufacturing, a U.S. company, for a 4000 PSI gas pressure washer valued at $1275.
Greg, a consumer in Tennessee, sent a purchase order to Campbell Manufacturing, a U.S. company, for a 4000 PSI gas pressure washer valued at $1275. Greg needed a new pressure washer for his part time business of washing houses. The order did not specify how disputes between the parties would be settled. Campbell returned a definite, unconditional acceptance that contained one additional term which stated that disputes must be submitted to arbitration. Greg received the acceptance; however, he never agreed or objected to the additional term. Campbell orally contracted to sell 15 pressure washers to London Painting Company a large commercial painting company in France.
- Explain the status of the contract between Greg and Campbell.
- If a contract was formed, did the additional term in the acceptance become part of the contract?
- Is the contract between Campbell and London legally enforceable? (Additional research outside of the textbook may be necessary).
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