Question
Situation Details - Rotten Apples (Adapted from the Tomato Grower by John Skelton) Mr. Doe lived at 123 Honey Street in Barrie, Ontario. One sunny
Situation Details - Rotten Apples
(Adapted from the "Tomato Grower" by John Skelton)
Mr. Doe lived at 123 Honey Street in Barrie, Ontario. One sunny and warm summer day, Mr. Doe decided to take a walk through the park that was close to his home.
The park was lovely, and his neighbors' properties bordered the north and south sides of the park. He stopped to admire the apples that were growing in a garden owned by one of his neighbors. Mr. Doe introduced himself to Mr. Roberts, who was the grower of the apples. Mr. Roberts lived at 456 Maple Street, about 3 kms away from Mr. Doe.
"Those are fine looking apples, Mr. Roberts," remarked Mr. Doe. It so happens that Mr. Doe loved making apple pies for his family, and these apples would be perfect for the pies. Mr. Doe had scheduled a huge end-of-summer party at his house for family and friends, where he traditionally sold his pies to his neighbours and friends. He was the "talk of the town."
"I wonder, Mr. Roberts, would you be willing to sell some of your apples to me?" Asked Mr. Doe. "I would like to use them in my world-famous apple pies."
"Of course," replied Mr. Roberts. I would be happy to sell them to you. They will ripen close to September 1st, so you may have them at that time.
After a little friendly bickering, they settled on a price of $20 CAD for a basket of apples, which would be ready on September 1. Mr. Doe paid the $20 to Mr. Roberts in advance, as a gesture of good faith.
The weeks passed, and September 1st finally arrived. Mr. Doe waited patiently for the knock on his door that would be Mr. Roberts delivering the apples. But no one knocked on his door. There was no phone call. Sept. 2, Sept. 3, Sept. 4 ... no knock on the door, no phone call from Mr. Roberts. Mr. Doe was frustrated.
So, on September 5, Mr. Doe went for another brisk walk, towards Maple Street. As he approached, he saw that Mr. Roberts's apple trees were laden with red, ripe apples. And there was Mr. Roberts, lounging in his back yard. Mr. Doe was upset.
"Hey! Roberts!" Shouted Mr. Doe. We had a deal! I paid $20 for a basket of apples! Are you trying to rip me off?"
"No!" replied Mr. Roberts. "I was waiting for you to come and pick the apples yourself and bring your own basket! You never showed up!"
"I expected you to deliver the apples to me, with the basket!" exclaimed Doe.
"That was never part of the deal! Those baskets are expensive, and I don't have the time or energy to deliver them!" replied Roberts.
After some argument, the two finally agreed that Doe would send his son Albert pick up the apples the next day, as long as Mr. Roberts would pick the apples, put them into the basket, and leave them on his front porch at 345 Maple Street. Doe knew that he would have to pay his son $5 to go and pick up the apples. The apple pies were starting to become an expensive proposition.
As arranged, the next day, Albert Doe rode his bicycle to Roberts's house to pick up the apples. He carefully loaded the basket onto his bicycle carrier, secured it with some bungie cord, and rode toward Honey Street.
Then, disaster struck. Swerving to miss a parked car, Albert hit a pot hole in the road. The bungie cord slipped, and the basket of apples tumbled onto the pavement. Half of the apples were smashed. Albert was forced to break the bad news to his father.
Mr. Doe was irate. "Roberts was supposed to pack those apples properly! He should have helped you to load the basket onto your bicycle! I am going to demand my $20 back! Now I can't make enough pies for the big party! Am going to sue him for inconvenience and embarrassment!"
And the argument between the Roberts Family and the Doe family was renewed. The neighborhood was never the same again.
Respond to the following questions:
How could consideration of Incoterms 2020 help the dispute between Roberts and Doe?
If they had negotiated "EXW" during the initial discussion, what would Roberts's
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started