Foodmart Inc Essay

607 Words Jan 30th, 2012 3 Pages
Foodmart Inc. Paper
BUS 415
January 12, 2012

Foodmart Inc. Paper
Foodmart Inc. is a retail grocery store in Any State, America. This paper will discuss four lawsuits involving Foodmart Inc. or its employees. The first lawsuit is Foodmart Inc. suing Masterpiece for breach of contract, specifically regarding Masterpiece’s performance on a renovation project. The second case concerns Jeremy Atwater, an employee of Foodmart, who is being sued by a car company named Smooth Sales Used Cars over the legality of a contract. The third lawsuit involves Brian, a manager of Foodmart, as a defendant versus Harry, who is suing him for breach of contract. In the final case, Foodmart itself is being sued by Todd, who accuses Foodmart of
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If “a contractual duty has not been discharged (i.e. terminated) or excused (i.e. relieved of legal liability), the contracting party owes an absolute duty (i.e. covenant) to perform the duty” (Cheeseman, p. 183). I believe this case involves a breach of contract by Masterpiece Construction because they did not advise Foodmart of what was happening, and they did not give Foodmart the choice to accept, deny, or make changes to the existing contract. I would say that we are facing an Inferior Performance: Material Breach suit. Masterpiece could invoke the Force Majeure Clause for why they could not finish the job and needed to hire somebody else to fulfill the agreement (they had new contracts to finish and not enough employees to do the job). They will lose their argument because the Force Majeure Clause states that a party can be excused from finishing a job due to extraordinary, uncontrollable circumstances, such as labor strikes, missing raw materials, and the like. But in this case the “impossibility of performance” was a subjective impossibility (I cannot do it), not an objective impossibility (it cannot be done) (Cheeseman, p. 183). Masterpiece had the choice not to take on more jobs than they could handle. In the case of Inferior Performance: Material Breach, Foodmart can either ask Masterpiece to rescind the contract and then request complete restitution, or they can keep the contract and recover damages. I believe that in

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