CNU Legal Aspects of Engineering discussion

WRITING 3:

Gentlemen:

Welcome to your THIRD writing assignment. There are several issues here. As I mentioned in your first writing assignment you need to think about the issues fully and then organize your thoughts. You may have different laws which may apply.

TRY AND REFRAIN FROM STATEMENTS THAT CONCLUDE THINGS TOO QUICKLY.

This assignment is due on Thurssday, the 28th by 5p.m.

Mark

WRITING ASSIGNMENT NUMBER THREE

Caruana Industries (CI) wished to upgrade its 5,000 lighting fixtures to meet new energy conservation standards in the state of California. The company had been unable to find compatible lighting elements. CI had its CFO, Charles Oldman try and locate some sources for compatible elements. After an extensive search and due diligence, he found a seller named Texas Lights (TL).

CI wrote to TL on several occasions explaining its needs. This process began in February of 2018. After several rounds of talks, there seemed to be a sense that this could be done by both sides.

On July 1, 2018 TL e-mailed CI:

We believe we can manufacture the lighting elements that you require. We are prepared to supply 5,000 at $100 each. We understand that this is much more than you anticipated paying, but the redesign to meet your specifications will not be easy. We need to do this deal by September 1, 2018. If not, we will have to turn our attention elsewhere.

Oldmanwas relieved that CI would not need to replace its existing lighting fixtures. CI felt sufficiently confident that it would be able to secure funding for the purchase so it terminated ongoing negotiations with manufacturers for replacement lighting fixtures.

On August 1, CI received notice that funds would be available. It immediatelye-mailed TI: “We got the money. We have a done deal.”

On August 10, TL e-mailed CI:

We have reconsidered. Because of new commitments, we will not be able to supply the lighting elements as planned. Sorry.

Because its computer was down on August 10 and 11, CI was unaware of TL’s August 10th e-mail message.

On August 12, CI telephoned TL and the following exchange ensued:

CI: Our computers have been down for a couple of days, but we assume you got our message. Our people are real excited about this.

TL: What message? And we told you two days ago we could not do the lighting elements.

TL has refused to supply the lighting elements. It will be very difficult and expensive for CI to acquire replacement lighting fixtures.

CI alleges that this was a firm offer and that TL could not revoke the offer. TL disputes that there was an offer at all because the essential elements were never really laid out out and that this was in reality a negotiation. It was an invitation to them to get together to make a deal. Further there was no firm offer made pursuant to the UCC.

Please explain this situation thoroughly. Was there an offer? Why or why not….please explain what elements would have been necessary and what if anything would have been necessary.

Was there an acceptance? Why or why not? What is an acceptance and what was missing, if anything? What is the UCC and how would this situation be controlled by the UCC, if at all?

Please explain firm offers and the requirements of firm offers?

You are to assume that I have no knowledge of contract principles and you need to educate me about all of this. I anticipte the essay will be approximately 3 to 4 pages