Richard agrees to supply Henry with all his needs of specially made shampoo for Henry's beauty salon. Henry believes that Richard is a representative of a famous hair products company, but he finds a letter to a competitor written by Richard two days
before Henry's agreement with Richard was signed, proving that Richard is a fraud. Richard says that this letter may not be admitted in court since their contract is wholly integrated. Is he correct?
No, prior and contemporaneous evidence is excludable, but only if it changes the terms of the contract. Here the evidence is admitted for the purpose of proving fraud in the inducement.
You might also like to view...
Which of the following stockholders' equity disclosures are required under both GAAP and IFRS?
A) restrictions on the repayment of capital B) reacquired shares and rights C) share reserved for future issuances under sales contracts D) revaluation reserve
The least amount that the buyers of stock must contribute to the corporation or be at risk to pay creditors at a future date is called the:
A. Premium capital. B. Minimum legal capital. C. Stated value. D. Par value of preferred. E. Working capital.
This action allows the stock to be purchased on the open market and gives investors a chance to get a return of cash.
a. liquidation b. IPO c. exit plans and clauses d. company registration
An example of an operating activity is:
A. Borrowing money from a bank. B. Paying wages. C. Selling stock. D. Paying off a loan. E. Purchasing office equipment.