Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

weosme. Payment was scneoweo tnrougn a letter or credit tnat was sent to CTl's bank, JL Bank, via email. Typically, in these types of transactions,

image text in transcribed
weosme. Payment was scneoweo tnrougn a letter or credit tnat was sent to CTl's bank, JL Bank, via email. Typically, in these types of transactions, the buyer's bank holds onto the documents until payment is received from the buyer. Upon payment of the amount due, the bank forwards the documents to the buyer, who will then be able to collect the goods. The letter of credit stated that payment was due \"on arrival of the goods in San Francisco harbor." The Bill of Lading, also emailed to JL Bank along with the invoices, stated that notification would be given to the seller when the goods arrived in the port. The bank was not listed on the Bill of Lading or the invoices. Since the bank was not listed, the clerk who received the email with the Bill of Lading and invoices archived it without telling with anyone. JL Bank took no further action on the matter, until it received notice from the seller of the delinquent payment. The wine arrived in the harbor as scheduled on February 27. Notice of the delivery was sent via email to Primo Italia. Primo's salesperson read the email, but took no further action, assuming the wine would be picked up by the buyer. JL Bank did not receive notice of the delivery, and so the wine sat in the harbor in metal containers until it deteriorated completely. Primo never received payment for the wine. Primo has sued CTI for non-payment for the wine and additional damages for the loss of the wine. The customer who ordered the wine has sued CTI for the loss of the wine. You send an email to the Legal Department to notify them of the lawsuit since this is a contract dispute. Meanwhile, you receive an urgent call from the director who originally talked to you about this issue. The director tells you that his office received notice that the shipment had arrived, but the email was overlooked in a very busy week. He asks you not to take any action on the issue as his unit will undoubtedly be on the hook for the mistake and loss of the wine, and he could lose his job or worse

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Company Law

Authors: Janet Dine, Marios Koutsias

9th Edition

1352010003, 978-1352010008

More Books

Students also viewed these Law questions

Question

understand the restrictions of top-down job redesign approaches;

Answered: 1 week ago

Question

=+Describe your point of view.

Answered: 1 week ago