The Legal Environment of Business: Text and Cases (MindTap Course List)
10th Edition
ISBN: 9781305967304
Author: Frank B. Cross, Roger LeRoy Miller
Publisher: Cengage Learning
expand_more
expand_more
format_list_bulleted
Question
Chapter 24, Problem 2BS
Summary Introduction
Case s ummary : The person M received two credit cards from two companies’ MD and HF. The credit card from MD was solicited, whereas the credit card from HF came unsolicited. M made several payments from the credit card of MD but did not make any payment from the credit card of HF. The person B stole both the credit cards of M and made various payments from both the cards. M notified MD about the theft of its credit card but didn’t notify the same to HF. M received the bill for payments made from the credit card of HF but refused to pay the same.
To find: M’s liability for the charges.
Expert Solution & Answer
Trending nowThis is a popular solution!
Students have asked these similar questions
Darren goes to a monster truck rally. Before going to the rally, he does not read the back of his ticket, which states "Monster truck rallies are extremely loud and noisy. Ear protection is highly recommended. By purchasing this ticket, the bearer of the ticket has expressly assumed any and all risk of ear injury associated with attending this event." Darren, not having read the back of the ticket, does not bring earplugs or other protective ear equipment to the rally. After the rally, he has constant ringing in his ears and cannot clearly hear people talk to him. Did Darren expressly assume the risk of ear injury? What about impliedly? Why or why not?
Using the IRAC model to answer the question. Jim and Jane got married last Sunday. The next day they travelled to Extended Stay Hotel in Miami for their honeymoon. They arrived at the Hotel, checked in and proceeded to their room. At the back of the front door in their room was a notice excluding liability, which read that “ Extended Stay will not be responsible for articles lost or stolen, unless it is logged at the front desk for safe custody.” However, this exclusion clause could only be seen after the door is closed as well as, the actual notice was small and colored in black, with a white background.
Regrettably, with all the excitement of their honeymoon, both Jim and Jane did not even notice the exclusion clause at the back of the door. One day when they were out shopping, someone came into their room and stole Jim’s laptop.…
Ginny DeWitt borrowed $30,000 from SunTrust Bank to pay for her first year of college and signed a promissory note that required payments to start six months after graduation or the student fails to enroll in at least one-half of the full time load. Ginny dropped out of college to pursue her passion of opening a gift shop. When Ginny failed to pay the debt, SunTrust transferred the note to First Bank in New York. New York Bank obtained a court order allowing it to garnish Ginny’s wages and her federal income tax refund. Ginny filed a lawsuit seeing to avoid the payment, claiming the debt was not valid because she did not sign any documentation promising to pay First Bank. She also argued that the note lacked consideration.
Explain the holder or holder in due course status of SunTrust when the bank took the note from Ginny and then First Bank when it took the note from SunTrust.
Address GInny’s arguments concerning the validity of the debt.
Determine the outcome of the case and…
Chapter 24 Solutions
The Legal Environment of Business: Text and Cases (MindTap Course List)
Knowledge Booster
Similar questions
- Liability for a Lost ATM Card Joshua Franz, of Oxford, Mississippi, earned $4,600 during the summer and put $3,000 of the money in a newly opened savings account for use during the school year. It is now November 4th and Joshua went to the bank to withdraw some cash. The teller informed him that there was only $2,100 in the account. When Joshua protested, the teller informed him that there had been three ATM $300 withdrawals from the account on the last day of the month in August, September and October. Joshua typically neglects to open the statements he had received on the third day of each month. When he got home he could not find the ATM card he had received when he opened the account in August and recalled that he had found his car door open in his parking lot in late August but had thought nothing was taken. When he opened the statements he saw the record of each of the withdrawals. He went immediately back to the bank to tell them of the loss. How much money will Joshua lose…arrow_forwardCameron is an accountant in the accounting department of Data Analytics Company. Cameron’s son’s college tuition is due within a week, or he cannot continue taking classes. To meet the due date, Cameron transfers funds from Data Analytics to a fictitious bank account, planning to repay the firm within one month. The transfer is discovered before the firm is repaid, and Cameron is arrested. What crime, or crimes, if any, has Cameron committed?arrow_forwardSalesperson Sam works for Broker Bob. Broker Bob discovers that Salesperson Sam has been receiving referral fees for every referral Sam made to Acme Mortgage Lenders. Acme's actions are:arrow_forward
- June is a 26-year-old woman. She is married but separated from her husband, whom she describes as frighteningly controlling, emotionally abusive, and sometimes physically abusive. When her husband left, he took their 5-year-old twin daughters with him, but only a few days later returned the girls to June an left again. June does not know where he is. He emptied their checking account, which never had much in it anyway, and they had no savings. Her rent and utilities are paid up through the end of the month, but she now needs to arrange for childcare so that she can continue to work. She has come to your agency for assistance. Review the discussion of customers, consumers, and clients in your text. How would you understand June as a customer? What does perceiving her as a customer mean for the helping relationship? How would the customer helping relationship affect how you conceptualize her and the challenges she faces? How would that, in turn, impact the services you provide and how…arrow_forwardIf Julie uses her roommate Rhonda's school internet account to do research for her term paper rather than her own account, has she committed a crime? What if the account is linked to Rhonda's account with the Bursar's office?arrow_forwardTina found a coat she liked at a department store, but it cost $20 more than she had.She did not have any credit cards and decided to leave. As she approached the exit, an employee offered her instant credit if she would apply for a store credit card. Tina signed up for the card and charged the coat. Write a sentence or two explaining various ways in which the store will benefit from extending credit to Tina.arrow_forward
- Mary, a keen pottery collector, saw a notice in the Daily News for an auction at James Pottery Limited on September 30th 2022. She traveled 300 kilometers to attend the auction in order to bid for a particularly rare item the “Mozart Pottery”, specifically mentioned in the list of items to be auctioned. However, when she got to the auction site, she found a notice stating that the auction had been canceled. Mary thereafter proceeded to a nearby antique shop and saw on display in the window, the identical “Mozart Pottery” priced at $10,000. Mary told the shop owner, Anthony, that she was only willing to pay $8,000 for it. However, Anthony indicated that he is willing to sell the pottery for $9,500. Mary then indicated to him that she desires some time to think it over and after lunch she will advise him. Anthony subsequently, agreed not to sell the identified pottery, until she return after lunch. However, Anthony forgot his promised to Mary and sold it to John for $9,500 before…arrow_forwardMary, a keen pottery collector, saw a notice in the Daily News for an auction at James Pottery Limited on September 30th 2022. She traveled 300 kilometers to attend the auction in order to bid for a particularly rare item the “Mozart Pottery”, specifically mentioned in the list of items to be auctioned. However, when she got to the auction site, she found a notice stating that the auction had been canceled. Mary thereafter proceeded to a nearby antique shop and saw on display in the window, the identical “Mozart Pottery” priced at $10,000. Mary told the shop owner, Anthony, that she was only willing to pay $8,000 for it. However, Anthony indicated that he is willing to sell the pottery for $9,500. Mary then indicated to him that she desires some time to think it over and after lunch she will advise him. Anthony subsequently, agreed not to sell the identified pottery, until she return after lunch. However, Anthony forgot his promised to Mary and sold it to John for $9,500 before…arrow_forwardMary, a keen pottery collector, saw a notice in the Daily News for an auction at James Pottery Limited on September 30th 2022. She traveled 300 kilometers to attend the auction in order to bid for a particularly rare item the “Mozart Pottery”, specifically mentioned in the list of items to be auctioned. However, when she got to the auction site, she found a notice stating that the auction had been canceled. Mary thereafter proceeded to a nearby antique shop and saw on display in the window, the identical “Mozart Pottery” priced at $10,000. Mary told the shop owner, Anthony, that she was only willing to pay $8,000 for it. However, Anthony indicated that he is willing to sell the pottery for $9,500. Mary then indicated to him that she desires some time to think it over and after lunch, she will advise him. Anthony subsequently, agreed not to sell the identified pottery, until she return after lunch. However, Anthony forgot his promised to Mary and sold it to John for $9,500 before…arrow_forward
- Mary, a keen pottery collector, saw a notice in the Daily News for an auction at James Pottery Limited on September 30th 2022. She traveled 300 kilometers to attend the auction in order to bid for a particularly rare item the “Mozart Pottery”, specifically mentioned in the list of items to be auctioned. However, when she got to the auction site, she found a notice stating that the auction had been canceled. Mary thereafter proceeded to a nearby antique shop and saw on display in the window, the identical “Mozart Pottery” priced at $10,000. Mary told the shop owner, Anthony, that she was only willing to pay $8,000 for it. However, Anthony indicated that he is willing to sell the pottery for $9,500. Mary then indicated to him that she desires some time to think it over and after lunch she will advise him. Anthony subsequently, agreed not to sell the identified pottery, until she return after lunch. However, Anthony forgot his promised to Mary and sold it to John for $9,500 before…arrow_forwardMary, a keen pottery collector, saw a notice in the Daily News for an auction at James Pottery Limited on September 30th 2022. She traveled 300 kilometers to attend the auction in order to bid for a particularly rare item the “Mozart Pottery”, specifically mentioned in the list of items to be auctioned. However, when she got to the auction site, she found a notice stating that the auction had been canceled. Mary thereafter proceeded to a nearby antique shop and saw on display in the window, the identical “Mozart Pottery” priced at $10,000. Mary told the shop owner, Anthony, that she was only willing to pay $8,000 for it. However, Anthony indicated that he is willing to sell the pottery for $9,500. Mary then indicated to him that she desires some time to think it over and after lunch she will advise him. Anthony subsequently, agreed not to sell the identified pottery, until she return after lunch. However, Anthony forgot his promised to Mary and sold it to John for $9,500 before…arrow_forwardKhabua books for a hotel facility and pays in advance. The hotelier tells him nothing more than the issue of a receipt. Khabua takes occupancy of the room only to read a list of DONTS posted at the back of the door of his room. The following day he returned from breakfast in the hotel to find that his wrist watch which he left on the table of the room was missing. He spoke to the receptionist at the reception desk on the loss but they referred him to an exclusion clause on the door. He seeks your advice. Advise Khabua.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- BUSN 11 Introduction to Business Student EditionBusinessISBN:9781337407137Author:KellyPublisher:Cengage LearningEssentials of Business Communication (MindTap Cou...BusinessISBN:9781337386494Author:Mary Ellen Guffey, Dana LoewyPublisher:Cengage LearningAccounting Information Systems (14th Edition)BusinessISBN:9780134474021Author:Marshall B. Romney, Paul J. SteinbartPublisher:PEARSON
- International Business: Competing in the Global M...BusinessISBN:9781259929441Author:Charles W. L. Hill Dr, G. Tomas M. HultPublisher:McGraw-Hill Education
BUSN 11 Introduction to Business Student Edition
Business
ISBN:9781337407137
Author:Kelly
Publisher:Cengage Learning
Essentials of Business Communication (MindTap Cou...
Business
ISBN:9781337386494
Author:Mary Ellen Guffey, Dana Loewy
Publisher:Cengage Learning
Accounting Information Systems (14th Edition)
Business
ISBN:9780134474021
Author:Marshall B. Romney, Paul J. Steinbart
Publisher:PEARSON
International Business: Competing in the Global M...
Business
ISBN:9781259929441
Author:Charles W. L. Hill Dr, G. Tomas M. Hult
Publisher:McGraw-Hill Education