SOLVED

[Elton’s Electronics] Elton’s Electronics sells electronic housewares. Elton is looking for a new supplier to produce the standard-sized switchplate for its best-selling blender. He contacts Porter and provides Porter with specifications for where the switches on the switchplate should be placed. Porter provides excellent pricing and delivery terms, which would save Elton a lot of money. Elton and Porter sign a contract for Porter to produce 10,000 standard-sized switchplates according to Elton’s specifications. When the completed switchplates arrive, Elton’s employees attach them on the face of the blender, however, the standard-sized switchplates are two millimeters too long. Elton is furious and calls Porter, who says Elton can send back the switchplates and Porter’s company can re-work them, but there will be a fee because the switchplates he shipped were “standard-size” switchplates, as specified in the contract. Elton disagrees and hangs up the phone. Elton’s technician measures both the switchplates and the blender and discovers that the blender face where the switchplate is attached is two millimeters shorter than the well-known, “standard-size” switchplate. The technician suggests they could shave off two millimeters from Porter’s boards to make them fit on the blenders, however, it would be a lot of work. 76) Is Elton likely to be successful in a lawsuit that seeks to void or rescind the contract? A) Yes, because a unilateral mistake voids a contract. B) No, because courts rarely allow rescission in cases of a mutual mistake. C) Yes, because both parties were mistaken about what constitutes a “standard-size” switchplate, and where there was a mutual mistake, either party may choose to rescind the contract. D) Yes, because it was a mistake of fact. E) No, because only Elton, not Porter, was mistaken about what constitutes a “standard-size” switchplate, and a unilateral mistake generally does not void a contract. 77) Under which of the following scenarios would a court most likely invalidate the contract with Porter? A) If Porter knew the “standard-size” switchplates were not the proper size for Elton’s blenders, and Elton’s mistake in calculating the size needed was a clerical error. B) If Elton assumed the switchplate was the standard size. C) If Elton’s mistake in measuring the size of the switchplate needed was a clerical error. D) If Elton’s technician “eyeballed” the size needed for the blender. E) If Elton wrote the wrong switchplate size in an email to Porter and that size was the same as the standard size. 78) Which of the following statements is least likely to support the suggestion of Elton’s technician about shaving down the switchplates and using them, instead of rescinding the contract? A) If the contract is rescinded, Elton’s Electronics would not have any switchplates for the blenders. B) If the contract is rescinded, Porter will probably not want to do business with Elton again. C) A rescinded contract is time-consuming. D) If the contract is rescinded, we would “win” against Porter. E) A rescinded contract is expensive. 79) Which of the following is an example of non-disclosure? A) Justin removes 25,000 miles from his odometer. B) Justin changes quality control paperwork to show a shipment has passed inspection. C) Justin places a carpet over mold in his basement. D) Justin permits a shipment of hair dryers which did not pass quality control testing. E) Justin checks the “no” box on a form asking if the house being sold had ever flooded. 80) Which of the following examples would a court be least likely to find that nondisclosure has the same legal effect as an actual false assertion? A) The contract involves a sale of a car with bad brakes. B) Vito permits an order to ship that did not pass quality testing. C) Caroline fails to inform Vito of the recent outbreak of rust on her “rust-free” car that Vito had already agreed to purchase. D) Despite the state’s mandatory disclosure law, Vito fails to mention the mold in his basement. E) One of the parties to the contract is the other’s doctor. Â Â