Scenario 1 Contracts

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).