The Legal Environment of Business: Text and Cases
The Legal Environment of Business: Text and Cases
9th Edition
ISBN: 9781305764460
Author: Frank B Cross/ Roger LeRoy Miller
Publisher: CENGAGE C
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Chapter 19, Problem 7BCP
Summary Introduction

Case summary: Company K maintains a rehabilitation center WG. Person L was admitted to the center for knee replacement surgery and person Y signed the admission form on her behalf. The form will be given for compulsory arbitration in case of any dispute. Person L filed a lawsuit against K for negligence.

To find: The chances of compulsory arbitration in the given case.

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Teresa and Kensington enter into an employment contract that contains an unenforceable arbitration clause. Teresa sues Kensington, but Kensington wants the contract to remain effective. How can the court rule that the contract is still valid? a. If the contract contains an integration clause, the court may delete the unenforceable clause and enforce the rest of the contract. b. If the contract contains boilerplate, the court may delete the unenforceable clause and enforce the rest of the contract. C. If the contract contains a severability clause, the court may delete the unenforceable clause and enforce the rest of the contract. d. If the contract contains representations and warranties, the court may delete the unenforceable clause and enforce the rest of the contract.
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