Free Essay

Maple Farms V. City School District

In: Business and Management

Submitted By kdamaz
Words 526
Pages 3
Issue
This is a motion for summary judgment in an action for declaratory judgment whereby the plaintiff seeks, first, a determination that the contract wherein the plaintiff agreed to supply milk to the defendant school district at an agreed price be terminated without further liability on the grounds of legal "impossibility" or "impracticality" because of the occurrence of events not contemplated by the parties which makes performance impracticable and, second, a determination that the defendant school district has authority to unilaterally relieve the plaintiff of its contract without violating
Rules
The courts look at two elements in determining whether a person is able to be excused from their contract. In looking at the element of just cause, courts further analyze two factors: reasonable actions and the environment in which the actions take place.
If a person suspects that he is being deprived of property legally attached to him and he can show that his suspicions are reasonable then he is said to have a reasonable suspicion. Courts also look at whether the activity in question took place in an environment where contracts fluctuating is common. Public schools are considered to be more justifiable places where a person could have just cause for reasonable suspicion in comparison to private schools or sparsely populated areas with smaller districts.
In looking at the other element of authority, the courts tend to favor people directly charged with handling the contract as people with the authority to determine if the contract in question can be fluctuated. In general, the element of authority is usually seen as one part of a two-part legal justification for legally justifiable contract change. Authority in itself is not enough. The same reasoning applies to all changing of contracts. Exceptions are made in the case where a person of authority has to conduct an investigation with just cause and courts usually grant a reasonable amount of time in changes for this purpose. Here the reasonable amount of time a person can be kept waiting for approval of said change is directly related to the circumstances under which the waiting period takes place.
Application/Analysis
Plaintiff was selling his milk to multiple school districts. He found out the price of his milk was going up and he needed the school to pay more. The plaintiff tried to reason with the school saying how he would lose a lot pf money if they couldn’t renegotiate the contract and have a higher price for the milk. The school said no to the price raise stating that in their contract they have a set price for so many years. Plaintiff then took them to court.
A court looking at these facts would try to see how much the school would need to pay more and if that would be such a big deficit for them or if the school and milk man can meet in the middle somehow. The first element of price raises is if it is a reasonable cause to raise the price.

Conclusion
Plaintiff would most likely not prevail in the courts because the defendant did not indicate a willingness to excuse the plaintiff from performance.…...

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