In: Operations Management
Eric needs all kinds of things for his business. He meets Mark at a ginger ale convention, and they decide to do business with one another. But, they are learning, and make some mistakes.... Assume the UCC governs the following questions (3) to (10). Eric needs bottles for his finished product, and Mark agrees that he can provide them. Eric needs 500 bottles, but they forget to agree on the PRICE of each bottle.
(6) Eric wanted emblazoned on each bottle the words "Eric's Ginger Ale" in red, white, and blue letters--and told Mark of this. Mark, not having those colors, changed his acceptance that the letters would simply be in black. Is this allowed under the UCC? How does this differ from the basic Contract Law "mirror image rule"?
Eric needs bottles for his finished product, and Mark agrees that he can provide them. Eric needs 500 bottles, but they forget to agree on the PRICE of each bottle.
Answer= In this case, As per 1302.18. (UCC 2-305), There will be a contract as this clause defines that if the prices are not fixed by the parties to the contract then the price of the product will be considered as a reasonable price on delivery.
But when we talk about the common laws of the contract, if there is no price fixed for the contract, then this contract will be termed as void.
Eric wanted to be emblazoned on each bottle the words "Eric's Ginger Ale" in red, white, and blue letters--and told Mark of this. Mark, not having those colors, changed his acceptance that the letters would simply be in black.
Answer= In terms of USS, this type of change in the offer is permitted as the CC favors the formation of the contract however the terms of the offer will be dictated by the party which send the last form of the offers.
But in case of mirror image rule, no change in the offer is permitted if there are changes in the terms of the offer, then this will result in a violation of the contract