Question

In: Accounting

Jeremy is a breeder of rare parrots. He offers to sell Burt a breeding parrot named...

Jeremy is a breeder of rare parrots. He offers to sell Burt a breeding parrot named Joyce for $450 and Burt accepts so that he can mate the parrot with his own parrot named Alvin. Unknown to Burt, the parrot, Joyce, is unable to produce a viable egg for reproduction because she has been exposed to a toxic pesticide. One month after the sale, Burt has the parrot looked at by a veterinarian who is an expert in parrots, who explains that Joyce is not able to produce viable eggs. Burt demands return of his money and all remedies “under the law.”

To what remedies, if any, is Burt entitled?

Solutions

Expert Solution

Given, Jeremy is a breeder of rare parrots. He offered a breeding parrot to Brut for $450. But on month after the sale he came to now that the Parrot is not able to produce viable eggs.

Offer: In the given case there is an Offer which is a promise made by Jeremy to sell a breeding Parrot.

Acceptance: Acceptance is the consent of receiving such offer. There is also an acceptance made by Brut who bought the parrot.

Breach of Contract :Breach of contract arises due to the misrepresentation of facts or non performance. Jeremy made a misrepresentation of facts. He sold a bird saying that it is a breedable parrot but which is not actually a breedable parrot. This results to breach of contract.

Remedies on Breach of Contract: The remedies available for Brut are as follows.

1) Recession: Jeremy can rescind the contract which allows to get back to the position which was before entering into the contract. It means he can get back all his money and return the parrot, Joyce.

2) Sue for damges: He can sue for the damages caused to him due to the misrepresentation of facts. He ca also get the amount which he had spent to the veterinarian which he spent for the consulation of parrot.

3)Sue for Specific Performance: He may also demand for the parrot which is breedable from Jeremy to carry the specific performance.


Related Solutions

Jeremy Johnson incorporated a consulting firm named Johnson’s Consulting Ltd. in December 2017. He found out...
Jeremy Johnson incorporated a consulting firm named Johnson’s Consulting Ltd. in December 2017. He found out that you have been taking an accounting course and has asked you for assistance in preparing the financial information for his banker (who has asked for financial statements). He has decided on a December 31 year-end. Dec 1 The Company issued common shares to Jeremy for $5,000 cash. Dec 1 A business loan was approved by the bank for $10,000, which was deposited into...
Alan offers, on day 1, to sell a book to Bob for $100. He then changes...
Alan offers, on day 1, to sell a book to Bob for $100. He then changes his mind and puts a revocation letter in the mail on day 2. Bob puts a letter in the mail on day 3 accepting the offer, and then on day 4 receives the revocation letter. The most accurate statement concerning the contract implications of this is Group of answer choices a contract has been formed on day 1 a contract has been formed on...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT