INTERPRETATION Flashcards
A delivers a fur coat to B for storage and receives a warehouse receipt which purports on its face to set forth the terms of the storage contract. By accepting the receipt, whether or not A reads it or understands it, does A assents to its terms?
Yes. By accepting the receipt, whether or not A reads it or understands it, A assents to its terms.
A sells plant bulbs to B. Later A delivers the bulbs with an invoice containing contractual language. B writes on a copy of the invoice “picked up October 27th” and signs his name. Is the invoice terms are not part of the contract?
No. The invoice terms are not part of the contract.
A ships goods via B, a carrier. B carries an insurance policy with C, an insurance company, and with C’s authority issues to A a certificate that A’s shipment is insured under the policy.
The policy contains a clause excluding coverage of trips on the Great Lakes unless approved by D, an individual, but this clause is not referred to in the certificate or known to A.
Is it part of the contract between A and C?
No. It is not part of the contract between A and C.
PAROL EVIDENCE RULE
Normally, if a party tries to introduce evidence of earlier negotiations – they will be met with the parol rule – extrinsic evidence barred.
A orally agrees to sell a city lot to B. The city is installing a sidewalk in front of the lot, and A orally agrees to pay the cost to be assessed by the city in an amount not exceeding $45.
B then retains a lawyer to draw up a written agreement, and A and B execute it, A without reading it. The agreement provides that A will pay all costs of the installation of the sidewalk, but does not mention any dollar limit.
If the written agreement is a binding integrated agreement, is any agreement for a $45 limit discharged?
If the written agreement is a binding integrated agreement, any agreement for a $45 limit is discharged.