Jamie is building a house on her lot. She invites Earnie of Earnie's Excavation to bid on the excavation job. Earnie observes that the lot next to Jamie's is also under excavation and the soil in that lot is normal and not excessively rocky. Based on the assumption that the soil in Jamie's lot will be similar, he and Jamie agree that the excavation will cost $3,000 . When Earnie starts digging,
he learns there is solid rock under Jamie's lot. Earnie says it will cost an extra $2,500 for the excavation work. Jamie agrees just to get the job done but later refuses to pay a dime more than $3,000 . If Earnie sues, the most likely result would be:
a. Jamie wins, as Earnie was under a preexisting duty to dig the basement.
b. Earnie wins as this modification is governed by the UCC and consideration is not required to enforce a modification of the agreement.
c. Jamie wins as Earnie was not acting in good faith and just wanted to put Jamie in a situation where she didn't have a choice but to agree to more money.
d. Earnie wins, as the modification was due to unforeseen difficulties.
d
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ACME, Inc is a software producer that entered into a verbal agreement with XYZ Corporation wherein XYZ agreed to buy ACME's newly developed software. The agreement also provided that ACME would supply training personnel, as well as technical personnel, to work with XYZ employees in installing and learning the software. What law governs this agreement?
Personal property that is most often exempt from satisfaction of judgment debts does not include equipment that the debtor uses in a business or trade
a. True b. False Indicate whether the statement is true or false
A strategy of related diversification requires most firms to organize around geographical areas or product lines. This type of organizational growth leads to a(n) ________ structure.
A. matrix B. functional C. divisional D. international
Your sister is thinking about starting a new business. The company would require $300,000 of assets, and it would be financed entirely with common stock. She will go forward only if she thinks the firm can provide a 13.5% return on the invested capital, which means that the firm must have an ROE of 13.5%. How much net income must be expected to warrant starting the business?
A. $38,475 B. $44,145 C. $33,210 D. $40,500 E. $41,310