Business law - Contract problems, FIRAC case, and short summary Assignment

Business law - Contract problems, FIRAC case, and short summary - Assignment Example to be bound by the agreement, statute of fraud covers contracts of sale of goods for a cost of at least $ 500 and requires such contracts to be in writing (Clarkson, et al, p. 234, 303). Hodge entered into a contract to work for Evans on the prime condition that the contract would be permanent. His condition was accepted but he was fired within a year. Hodge has sued for a breach of contract while Evans argues that the oral contract is unenforceable. Watkins and Iams entered into an annually renewable contract in which Watkins was, based on a promise, to be the sole distributer of Iams’ products in Michigan. The renewed contract in 1993 however reserved the company’s right to appoint any other distributor in Michigan. Iams then notified Watkins that its contract would not be renewed and contracted another company. Watkins has since sued for breach of contract, fraud, and promissory ‘estoppel’. A contract that either does not involve land, is enforceable within a year, is not a contract of guarantee, is not a promise that involves â€Å"consideration of marriage† and is not for sale of goods worth at least $ 500 dollars does not necessarily have to be in writing (Clarkson, et al., p. 304). Promissory estoppels also creates liability on promises relied upon in contracts (Clarkson, et al, p. 259). Dyer purchased a car with written provisions that no taxes were included in the price. While the contract restricted the agreement to its written terms, the salesperson assured her that sales tax was already paid. She has realized otherwise and has sued for breach. The parole evidence rule provides that oral agreement that precedes or is made alongside a written contract, in which the parties intended to be fully bound by the written contract, is inadmissible. The rule however has exceptions that include â€Å"contract subsequently modified, voidable or void contracts, contracts containing ambiguous terms, and incomplete contracts† among others (Clarkson, et al,