One of the famous cases that occurred in the 19th century is the case of Sherwood v. Walker. This case involved a Mr. Sherwood, the buyer of the cow and Mr. Walker, the cow seller. The issue occurred when both parties create a contract to buy/sell a cow that both parties believed that it a barren cow. A barren cow is a cow that not capable of breeding. Thus, a contract was formed to buy/sell the cow at a portion of the price. However, after the contract was created, the seller found out that this cow is capable of breeding and refuse to sell the cow. Since there is a contract between the buyer and the seller, if an issue between both parties occurred, they can take it to court in the attempt to solve their issue. The trial showed that the plaintiff,
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What were the main legal issues involved? For this case, the main issue that was involved between the merchant and the buyer is the contract that both parties agreed upon prior to receiving the final product. The product, in this case, is a cow which both parties believed that is an unbreedable cow which will be sold as a meat cow. A cow that belief to be unbreedable and sold as a meat cow is worth much less than a cow that capable of breeding. Thus, the seller attempts to breach the contract because his cow is worth much more than the agreed …show more content…
Both parties were mutually mistaken of the product and in this case, the buyer benefit while the seller is at a loss. Since the seller is at a loss, he decided not to sell his cow because of it worth much more than the agreed price. When both parties failed to recognize the true quality of the product, the contract is voidable, but in this case, the court ruled in favor of the buyer because both parties agreed on the price prior the discovering that it was a fertile cow. The court finds the seller argument unpersuasive because the contract was signed. However, after the defendant appealed, the approach shifted as they discovered that both parties made a mutual mistake which gives the defendant the rights to rescind. Since both parties were not aware of the condition of the cow but agreed on a price of the cow thinking that it a barren cow. The court ruled that it was a mutual mistake and the contract is voidable.
Provide a detailed example of how the court's conclusion might be applied in a modern business
What were the main legal issues involved? For this case, the main issue that was involved between the merchant and the buyer is the contract that both parties agreed upon prior to receiving the final product. The product, in this case, is a cow which both parties believed that is an unbreedable cow which will be sold as a meat cow. A cow that belief to be unbreedable and sold as a meat cow is worth much less than a cow that capable of breeding. Thus, the seller attempts to breach the contract because his cow is worth much more than the agreed …show more content…
Both parties were mutually mistaken of the product and in this case, the buyer benefit while the seller is at a loss. Since the seller is at a loss, he decided not to sell his cow because of it worth much more than the agreed price. When both parties failed to recognize the true quality of the product, the contract is voidable, but in this case, the court ruled in favor of the buyer because both parties agreed on the price prior the discovering that it was a fertile cow. The court finds the seller argument unpersuasive because the contract was signed. However, after the defendant appealed, the approach shifted as they discovered that both parties made a mutual mistake which gives the defendant the rights to rescind. Since both parties were not aware of the condition of the cow but agreed on a price of the cow thinking that it a barren cow. The court ruled that it was a mutual mistake and the contract is voidable.
Provide a detailed example of how the court's conclusion might be applied in a modern business