Research contract and negotiable instrument plans for different business situations.

1. Research online to find four cases related to contracts and the UCC. In each case, summarize the case, identify whether contracts involved are sales or leases (find at least one of each), identify negotiable instruments involved (find examples of the use of at least two different instruments), and provide a source.

a. (5 points)

First Case:
Summary of Case:
Is there a contract involved? If so, is it for a sale or a lease? Whether the contract is for sale or lease, explain why you do or do not think it was the appropriate choice.
Is there a negotiable instrument involved? If so, do you think it is the appropriate choice? Explain your reasoning.
Source of Case

b. (5 points)

Second Case:
Summary of Case:
Is there a contract involved? If so, is it for a sale or a lease? Whether the contract is for sale or lease, explain why you do or do not think it was the appropriate choice.
Is there a negotiable instrument involved? If so, do you think it is the appropriate choice? Explain your reasoning.
Source of Case

c. (5 points)

Third Case:
Summary of Case:
Is there a contract involved? If so, is it for a sale or a lease? Whether the contract is for sale or lease, explain why you do or do not think it was the appropriate choice.
Is there a negotiable instrument involved? If so, do you think it is the appropriate choice? Explain your reasoning.
Source of Case

d. (5 points)

Fourth Case:
Summary of Case:
Is there a contract involved? If so, is it for a sale or a lease? Whether the contract is for sale or lease, explain why you do or do not think it was the appropriate choice.
Is there a negotiable instrument involved? If so, do you think it is the appropriate choice? Explain your reasoning.
Source of Case

2. Ryan and Lana have bought a barbecue franchise. They can either buy all of the cooking and customer equipment brand new from the franchise company, or they can lease it from the franchise company. If they buy it, they have to make $2,000 monthly payments for five years. If they lease it, they have to make $800 monthly payments for as long as they own the franchise. They plan to run the restaurant for five years and then sell the franchise to new owners and retire.

a. Should Ryan and Lana use a sales or lease contract? Explain your reasoning, and think about what you learned from your research. (3 points)

b. What negotiable instrument do you think the Ryan and Lana should use to make their monthly payments to the franchise company? Explain your reasoning, and think about what you learned from your research. (2 points)