Signal Sets Company contracts to present one hundred 52-inch plasma high-definition telecasting sets to a new retail client. Tuner Television Store. on May 1. with payment to be made on bringing. Signal stamps bringing in its ain truck. Tuner’s director notices that some of the cartons have scrape Markss. Tuner’s proprietor phones Signal’s office and asks whether the sets might hold been damaged as they were being loaded. Signal assures Tuner that the sets are in perfect status. Tuner stamps Signal a cheque. which Signal refuses. claiming that the first bringing to new clients is ever for hard currency. Tuner promises to pay the hard currency within two yearss. Signal leaves the sets with Tuner. which shops them in its warehouse pending its “Grand Opening Sale” on May 15. Two yearss subsequently. Tuner’s stocker opens some of the cartons and discovers that a figure of the sets are damaged beyond ordinary fix. Signal claims Tuner has accepted the sets and is in breach by non paying on bringing. Will Signal win on these claims? Explain.
Signal won’t needfully win on his claims. “Acceptance of the goods prevents the purchaser or leaseholder from exerting the right of rejection. but it does non needfully forestall the purchaser or leaseholder from prosecuting other remedies” ( Business Law Today ; page 337 ) . In some fortunes. a purchaser or leaseholder are allowed to revoke their credence of the goods. The annulment of credence is non effectual until the marketer has been notified. The marketer must besides be notified within a sensible clip after the purchaser discovers or should hold discovered the evidences for annulment. Tuner noticed cartons with scraping Markss and right off questioned Signal. but Signal assured they would non be damaged. A twosome yearss subsequently Tuner’s stocker opens some cartons and so discovers the amendss. advising Signal. Two yearss subsequently is within a sensible clip. Therefore Tuner has non breached for accepting the goods. He could now maintain the goods and recover amendss caused by Signal’s breach.
Signal besides stated that Tuner had breached contract for non paying on bringing. Payments can be made by any agencies agreed on by both parties. Under this contract there is no specific type of payment set. “ If the marketer demands hard currency when the purchaser offers a cheque. recognition card. or the similar. the marketer must allow the purchaser sensible clip to obtain legal tender” ( Business Law Today ; page 329 ) . In this instance Tuner offered Signal a cheque on the twenty-four hours of bringing. but Signal refuses. claiming the first bringing to new clients is ever for hard currency. So signal must than give Tuner sensible clip to pay. In this instance Tuner promises to pay the hard currency within two yearss. Therefore Signal is incorrect and Tuner did non transgress for non paying on twenty-four hours of bringing. Signal is most likely non traveling to win on his claims.