Bundle: The Legal Environment Of Business: Text And Cases, 10th + Mindtap Business Law, 1 Term (6 Months) Printed Access Card
10th Edition
ISBN: 9781337374835
Author: CROSS
Publisher: CENGAGE L
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Chapter 18, Problem 2BS
Summary Introduction
Case summary: Person W is the owner of company WC and is also a board of directors of the company WC. Company OC is negotiating with company WC for renovation of the headquarters. W previously disclosed about his personal interest in incorporating the construction company to two of the other directors. The company approves of the contract by three-to-two votes with W voting with majority.
To find: The extent to which the contract is binding on the corporation.
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Oxy Corp. is negotiating with Wick Construction Co. for the renovation of Oxy’s corporate headquarters. Wick, the owner of Wick Construction Co., is also one of the five members of Oxy’s board of directors. The contract terms are standard for this type of contract. Wick has previously informed two of the other directors of his interest in the construction company. Oxy’s board approves the contract by a three-to-two vote, with Wick voting with the majority.
Question: Should the contract between Oxy Corp and Wick Construction corp. be set aside or is it binding? What would have been the proper way for Wick to conduct himself at the Oxy board meeting?
Clay and Roan are negotiating the sale of Clay's car to Roan. Roan tells Clay he needs a little time to consider the last
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c. do not have a valid contract because accepting via email is an unreasonable manner of acceptance.
d. have a valid contract because they were in the middle of negotiations.
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W
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Chapter 18 Solutions
Bundle: The Legal Environment Of Business: Text And Cases, 10th + Mindtap Business Law, 1 Term (6 Months) Printed Access Card
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