Question
You are working as an advisor for a company that manufacturers face masks. Due to an unforeseen virus, the demand for face masks increases significantly.
You are working as an advisor for a company that manufacturers face masks. Due to an unforeseen virus, the demand for face masks increases significantly. Given the high demand, your company considers doubling the price it charges for its face masks.
The CEO asks for your opinion. She is considered about the company's reputation. She is also wondering whether such a move can be challenged under contract law doctrines that are designed to protect the parties from exploitation and ensure their consent.
required: Advise the CEO while applying the relevant insights and doctrines addressed in contract law discussions and the readings. Can the doctrine of unconscionable bargain of new Zealand apply in this case. Analyze conditions required to satisfy this doctrine. Would it make any difference if the buyers of these masks are large retailers or individual consumers?
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