Question
Hello, I am currently taking 311: Business Law I BBL2118B and like your assistance with the following: Week two discussion 1: Facts: PerawrittencontractbetweenCampbellSoupCompany(aNewJerseycompany)andtheWentzes(carrotfarmersinPennsylvania),theWentzeswoulddelivertoCampbellalltheChantenayredcoredcarrotstobegrownontheWentzfarmduringthe1947season.Thecontractpriceforthecarrotswas$30perton.ThecontractbetweenCampbellSoupandallsellersofcarrotswasdraftedbyCampbellandithadaprovisionthatprohibitedfarmers/sellersfromsellingtheircarrotstoanyoneelse,exceptthosecarrotsthatwererejectedbyCampbell.Thecontractalsohadaliquidateddamagesprovisionof$50pertonifthesellerbreached,butithadnosimilarprovisionintheeventCampbellbreached.ThecontractnotonlyallowedCampbelltorejectnonconformingcarrots,butgaveCampbelltherighttodeterminewhocouldbuythecarrotsithadrejected.TheWentzesharvested100tonsofcarrots,butbecausethemarketpriceatthetimeofharvestingwas$90pertonfortheserarecarrots,theWentzesrefusedtodeliverthemtoCampbellandsold62tonsoftheircarrotstoafarmerwhosoldsomeofthosecarrotstoCampbell.CampbellsuedtheWentzes,askingforthecourt'sordertostopfurthersaleofthecontractedcarrotstoothersandtocompelspecificperformanceofthecontract.ThetrialcourtruledfortheWentzesandCampbellappealed. Issues: Isspecificperformanceanappropriatelegalremedyinthiscaseoristhecontractunconscionable?
Hello, I am currently taking 311: Business Law I BBL2118B and like your assistance with the following:
Week two discussion 1:
Facts:PerawrittencontractbetweenCampbellSoupCompany(aNewJerseycompany)andtheWentzes(carrotfarmersinPennsylvania),theWentzeswoulddelivertoCampbellalltheChantenayredcoredcarrotstobegrownontheWentzfarmduringthe1947season.Thecontractpriceforthecarrotswas$30perton.ThecontractbetweenCampbellSoupandallsellersofcarrotswasdraftedbyCampbellandithadaprovisionthatprohibitedfarmers/sellersfromsellingtheircarrotstoanyoneelse,exceptthosecarrotsthatwererejectedbyCampbell.Thecontractalsohadaliquidateddamagesprovisionof$50pertonifthesellerbreached,butithadnosimilarprovisionintheeventCampbellbreached.ThecontractnotonlyallowedCampbelltorejectnonconformingcarrots,butgaveCampbelltherighttodeterminewhocouldbuythecarrotsithadrejected.TheWentzesharvested100tonsofcarrots,butbecausethemarketpriceatthetimeofharvestingwas$90pertonfortheserarecarrots,theWentzesrefusedtodeliverthemtoCampbellandsold62tonsoftheircarrotstoafarmerwhosoldsomeofthosecarrotstoCampbell.CampbellsuedtheWentzes,askingforthecourt'sordertostopfurthersaleofthecontractedcarrotstoothersandtocompelspecificperformanceofthecontract.ThetrialcourtruledfortheWentzesandCampbellappealed.
Issues:Isspecificperformanceanappropriatelegalremedyinthiscaseoristhecontractunconscionable?
Discussion:InJanuary1948,itwasvirtuallyimpossibletoobtainChantenaycarrotsintheopenmarket.CampbellusedChantenaycarrots(whichareeasiertoprocessforsoupmakingthanothercarrots)inlargequantitiesandfurnishestheseedstofarmerswithwhomitcontracts.Campbellcontractedforcarrotslongahead,andfarmersenteredintothecontractwillingly.Ifthefactsofthiscasewerethissimple,specificperformanceshouldhavebeengranted.
However,theproblemiswiththecontractitself,whichwasone-sided.Accordingtotheappellatecourt,themostdirectexampleofunconscionabilitywastheprovisionthat,undercertaincircumstances,Campbellmayrejectcarrots,butfarmerscannotsellthemanywherewithoutCampbell'spermission.Thoughthecontractwaslegal,itwaswrongforCampbelltoaskforthecourt'shelpinenforcingthisunconscionablebargain(onethat"shockstheconscienceofthecourt").Thecourtsaidthatthesumofthecontract'sprovisions"drivestoohardabargainforacourtofconsciencetoassist."
Holding:Thejudgmentofthetrialcourtinfavorofthefarmersisaffirmed.
QuestionsforDiscussion
- WhatwerethetermsofthecontractbetweenCampbellandtheWentzes?
- DidtheWentzesperformunderthecontract?
- Didthecourtfindspecificperformancetobeanadequatelegalremedyinthiscase?
- WhydidthecourtrefusetohelpCampbellinenforcingitslegalcontract?
- HowcouldCampbellchangeitscontractinthefuturesoastoavoidtheunconscionabilityproblem?
The professors questions are the following:
Read theCaseCampbell Soup Co. v. Wentz in the text. Answer the following questions:
- What were the terms of the contract between Campbell and the Wentzes?
- Did the Wentzes perform under the contract?
- Did the court find specific performance to be an adequate legal remedy in this case?
- Why did the court refuse to help Campbell in enforcing its legal contract?
- How could Campbell change its contract in the future so as to avoid the unconsionability problem?
Can you please help me create a good summary answering the professors questions regarding the case study.
I am sorry, I forgot the show you my answers to the questions. will resubmit, I don't understand the last question "How could Campbell Change its contract in the future so as to avoid unconsionability problem? I suspect that there several ways to modify and respond to the question but I don't know which would be best answer. Thank you
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