MT311-02_Unit 4_Case Analysis_Marjorie Bowden

MT311-02_Unit 4_Case Analysis_Marjorie Bowden - plaintiff...

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McDougal vs. Krunch Page 1 of 3 McDougal vs. Krunch: Express vs. Implied Contracts Marjorie Bowden MT311-02
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McDougal vs. Krunch Page 2 of 3 McDougal is a good friend of Krunch, who owns a candy store. McDougal visits the store daily and buys a candy bar or two. One day McDougal visits the store as usual, but seeing that Krunch was busy, McDougal got Krunch’s attention and just waved a candy bar in the air befre leaving. Is there a contract? In the situation above, McDougal has entered into an implied-in-fact contract. By McDougal catching Krunch’s attention and waving the candy bar at him, his conduct was as if agreeing to pay Krunch for the candy bar on his next visit or when Krunch wasn’t busy. Implied-in-fact contracts are defined as a contract formed in whole or in part by the conduct of the parties. There are three elements to an implied-in-fact contract. They are: 1) the
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Unformatted text preview: plaintiff furnished some service or property, 2) the plaintiff expected to be paid and the defendant knew or should have known payment was expected, and 3) the defendant had a chance to reject the service or property and did not. Normally silence cannot constitute acceptance because the offeree should not be put under burden of liability. However, silence can also operate as an acceptance when there has been prior dealings between the parties. In the above case silence would be acceptance due to the fact that McDougal made daily visits and purchases from Krunch. McDougal vs. Krunch Page 3 of 3 References: Miller, R. L., & Jentz, G. A. (2008). Fundamentals of business law part I. Mason, OH: Cengage Learning....
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This document was uploaded on 05/30/2011.

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MT311-02_Unit 4_Case Analysis_Marjorie Bowden - plaintiff...

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