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 26, Problem 6BCP
Summary Introduction
Case summary: According to the California state statutes, the seller is required to provide a real estate TDS (Transfer Disclosure Statement) to the buyers of residential property and disclosure of all the information about significant defects. A person M contracted with another person R to buy the property which included commercial building and residential building. R did not provide the TDS to M and M refused to buy the property.
To find: The possibility of breach of contract and the excuse for M’s non-performance.
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In 1923, DuPont was granted the exclusive right to make and sell cellophane in North America. In 1927, the company introduced a moisture-proof brand of cello- phane that was ideal for various wrapping needs. Although more expensive than most competing wrapping, it offered a desired combination of transparency, strength, and cost. Except for its permeability to gases, however, cellophane had no qualities that a number of competing materials did not possess as well. Cellophane sales increased dramatically, and by 1950, DuPont produced almost 75 percent of the cellophane sold in the United States. Nevertheless, sales of the material constituted less than 20 percent of the sales of “flexible packaging materials.” The United States brought an action, contending that by so dominating cellophane production, DuPont had monopolized a part of trade or commerce in violation of the Sherman Act. DuPont argued that it had not monopolized because it did not have the power to control the price of…
Broker Juanita is in a single agent relationship
with Seller Mike
when one of Juanita's sponsored sales
associates brings a buyer to the transaction.
Select the statement that indicates what
Juanita will need to
do with respect to her relationship with Seller
Mike if the buyer
remains in a transaction broker relationship
with the sponsored
sales associate.
No further actions are needed with respect to
Mike's relationship.
move Mike to a transaction broker relationship
by having him sign a
consent to transaction disclosure notice
move Mike to a transaction broker relationship
without informing him
Cari enters a single-agency relationship with a
listing broker, who owes her full disclosure and
loyalty. The listing broker then finds Buyer
Bonnie who wants that same broker to represent
her in a transaction broker relationship,
providing Bonnie with certain duties such as
limited confidentiality.
Can the broker represent Cari in a single-agency
relationship
AND represent Bonnie as a transaction broker in
the same transaction?
No, because offering Bonnie limited
confidentiality would conflict with the full
disclosure already owed to Cari.
Yes, but only if the limited confidentiality owed to
Bonnie is needed to fulfill Cari's objective of
selling the property.
Yes, as long as the broker tries to be fair to br
+
parties.
Chapter 26 Solutions
The Legal Environment of Business: Text and Cases
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