Author Question: Was ALPA's settlement with Continental irrational?[br][br][b][color=#9E3EA8]Question ... (Read 47 times)

xclash · **on:** Jun 24, 2018

Was ALPA's settlement with Continental irrational?

Question 2

Daniel and Annie signed a contract providing that Annie would sell craft beers to Daniel's grocery stores at a price of 20 per case. During negotiations, Daniel and Annie agreed that the price would go up to 22 per case once he had bought 1,000 cases. This provision never made it into the contract. After the contract had been signed, Daniel agreed to a price of 23 per case once volume exceeded 1,000 cases. The contract had an integration provision but no modification clause. What price must Daniel pay for cases in excess of 1,000?
a. 20
b. 22
c. 23
d. The contract is void because the terms are unclear. NOTE: Because there is an integration clause, the agreement to pay 22 is unenforceable. Because there is no modification clause, the subsequent oral agreement is enforceable.

smrtceo · **Reply #1 on:** Jun 24, 2018

Answer to Question 1

Viewed in light of the legal landscape at the time of the settlementrather than viewed in a retrospective sensethe settlement was by no means irrational. The settlement produced a share of the new jobs for the strikers and provided a lump-sum severance payment for one-third of the strikers that did not seek reinstatement. The settlement was well within the wide range of reasonableness that a union is allowed in its bargaining.

Answer to Question 2

.C