Discharge of a contract


General Instructions for Learning   Activities   

· Use only assigned   materials to complete Learning Activities; do not use internet unless   otherwise instructed

· Include in-text citations and a Reference   List for in-text citations

Learning Activity


The GC owners have questions and need   clarification about several contract concepts and issues related to their new   business.  Specifically, they have questions about:

· Statute of Frauds “writing requirement”

· Discharge of a contract

· Satisfaction of contract performance

Winne and Ralph have asked you to prepare   examples and explanations of these 3 areas of contract law.


To respond to the GC groups questions and   concerns, create facts scenarios and explanations to discuss with the GC   owners.

1.  Statute of Frauds – “writing”   requirement

Background:  Generally,   contracts for the sale of goods must be in writing, and the writing must be   signed by the parties to the agreement,  and the parties must be   sufficiently identified.  GC will be selling goods via the internet; the   owners are wondering whether these electronic contracts are valid and   enforceable.

Write a hypothetical facts scenario   describing specific details of a valid, enforceable electronic contract   between GC and Windows Bright, a small window washing business in   Missouri.  The contract is for the sale of 3 cases of Shiny Lite window   cleaning solution, at $200 per case, to Windows Bright, and sold by GC via   the internet.  

The scenario must explain how/why the   Statute of Frauds requirement that contracts for sale of goods over $500 be   in writing can be satisfied electronically.  

2.  Discharge of a contract

Background:  There are several   reasons for which a contract can be discharged before performance under the   agreement.    Under common law and the UCC (Uniform Commercial   Code, Section 2-615), a contract may possibly be discharged because of   commercial impracticability when performance could be completed only with   extreme difficulty, or at unreasonable expense, or would have little   practical value.  Courts are relatively flexible on this matter.

Write a hypothetical facts scenario   describing specific details of a contract between GC and a Barton Industries   (a fictitious company), for which GC was to provide roof and floor cleaning   in Barton’s large corporate office building each month for 3 months.    Write the scenario facts so that GC could reasonably argue that GC should be   discharged from performing on the ground of commercial   impracticability. 

The scenario must explain how/why the   contract might be discharged for commercial impracticability. 

3.  Satisfaction of performance

Background:  Some businesses   advertise, “Satisfaction guaranteed or your money back”.   A   performance satisfaction clause in a contract can mean that one party does   not have to pay or perform his or her duties under the contract unless fully   satisfied with the other party’s performance.  Courts typically apply an   objective, reasonable standard to resolve disputes arising from contracts   with satisfaction clauses.

Would you advise GC to include a   satisfaction clause on their contracts with cleaning clients?  Why or   why not?  Fully explain and support conclusions.

Format Instructions

Create scenarios and explanations in   paragraph format.

Number each section.




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