kaplan - Case Analysis Brief Sample
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kaplan - Case Analysis Brief Sample

Course: BUSINESS L LS311, Spring 2011

School: Kaplan University

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Case Analysis 1 Case Analysis: Week 2 Student: Rich Pugh Kaplan University LS311: Business Law I Instructor Nivea Castro, J.D. June 21, 2011 Case Analysis 2 Facts/History Thomas Baker and others who bought new homes from Osborne Development Corp. sued for multiple defects in the houses they purchased. When Osborne sold the homes, it paid for them to be in a new home warranty program administered by Home Buyers...

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Analysis Case 1 Case Analysis: Week 2 Student: Rich Pugh Kaplan University LS311: Business Law I Instructor Nivea Castro, J.D. June 21, 2011 Case Analysis 2 Facts/History Thomas Baker and others who bought new homes from Osborne Development Corp. sued for multiple defects in the houses they purchased. When Osborne sold the homes, it paid for them to be in a new home warranty program administered by Home Buyers Warranty (HBW). When the company enrolled a home with HBW, it paid a fee and filled out a form that stated the following: By signing below, you acknowledge that you CONSENT TO THE TERMS OF THESE DOCUMENTS INCLUDING THE BINDING ARBITRATION PROVISION contained therein. HBW then issued warranty booklets to the new homeowners that stated: Any and all claims disputes and controversies by or between the Homeowner, the Builder, the Warrant Insurer and/or HBWshall be submitted to arbitration. Issue Would the new homeowners be bound by the arbitration agreement, or could they sue the builder, Osborne, in court? Decision/Reason The California Appeals Court concluded the trial court correctly ruled that the arbitration agreement was both procedurally and substantively unconscionable and therefore unenforceable. The homeowners could sue the builder, Osborne in court. Analysis When Osborne sold the homes to Thomas Baker and others he paid for and administered Home the Buyers Warranty in which Thomas Baker and Others were required to sign that they acknowledged the terms of the documents including the binding arbitration provision. By signing this clause and accepting the warranty booklets from Case Analysis 3 HBW Thomas Baker and others are bound to submit themselves to arbitration. From a utilitarian point of view homeowners were not treated correctly, violating the concept of the greatest good for the greatest number (Jentz & Miller, 2008). The case NCR Corp v Korala Associates, Ltd. was related to unauthorized copying of computer software by KAL. An agreement in 1998 between two companies that any dispute regarding the software would be submitted to arbitration, NCR, however, sued in the District Court and when the District Court ruled in favor of KAL. NCR appealed to the US Court of Appeals, Sixth Circuit. The court again ruled in favor of KAL, compelling arbitration. The reason was that the 1998 agreement provided for arbitration. The court determined NCRs claims fell under the substantive scope of the agreement ("Ncr corp v," 2008) Case Analysis 4 References Jentz, G. A., & Miller, R. L. (2008). Fundamentals of Business Law Part 1 MT311 Ncr corp v korala associates, ltd. (2008, Januuary 16). Retrieved from http://www.ca6.uscourts.gov/opinions.pdf/08a0029p-06.pdf

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