Sudson Washer and Dryer Service is in the business of leasing used washers and dryers to apartment landlords for a contracted lease term. The coin-operated machines are used by apartment tenants. Letisha, 25, a human resource clerk, owns a five-unit apartment complex. While she resides in one of the units, the others are occupied by tenants. Sudson contacts Letisha and offers to lease one washer and one dryer.
The washer and dryer in Letishaâ€s apartment complex are old and worn-out. Anxious to keep her tenants happy, Letisha meets with Sudsonâ€s salesman who presents her with a one-page agreement for the use of one washer and dryer for five years. The five-year term is standard and the front page of the contract states the lease period. Letisha (as lessee) and the salesman for Sudson (as lessor) sign the front page of the contract and Letisha retains a copy of the signed agreement.
The salesman did not inform Letisha of, nor did she bother to read the back of the agreement which contained additional terms, one of which is an â€automatic renewalâ€ clause that states: â€œIf the lessee fails to provide a 90-day written notice to terminate the contract by certified mail to the lessor, the five-year lease term period shall automatically renew for three additional five-year terms and shall only be subject to termination by the lessor.â€
Letisha uses the machines for the five-year period and just a few weeks prior to the end of the term, calls Sudson to provide them with a courtesy notice saying she is not going to renew her agreement. The operator replies that since she failed to provide the 90-day written, certified notice of termination, the lease will be renewed for three five-year terms or another 15 years.
Letisha says that she never saw that clause. The operator replies that it was her obligation to read the back page of the agreement and Sudson will require her to make monthly payments for the next 15 years. Letisha does not know what recourse she now has.
Research whether Letisha has a contract formation or enforcement defense based on the legal and ethical use of automatic renewal clauses in lease agreements, using your textbook, the University online library resources, and the Internet. Based on the facts of the case and research, write an analytical paper. In the paper, respond to the following questions:
If Letisha does not pay and Sudson sues her for breach of contract, what legal arguments could be raised in Letishaâ€s defense against the enforcement of the automatic renewal clause? Explain.
What legal arguments could be raised by Sudson in support of the enforcement of the automatic renewal clause against Letisha? Explain.
What ethical issues are raised, if any, by Sudsonâ€s practice of using the automatic renewal clause in their lease agreements? Explain.
Does the Uniform Commercial Code Article 2A apply in this case? Explain.
Are there any government or private entities available to Letisha for lodging complaints about businesses which treat consumers unfairly? Explain.
If Sudson sues Letisha for breaching the contractâ€s automatic renewal clause, what do you think the outcome of the case will be? Explain.
Write a five-page paper in Word format. Apply APA standards for writing style to your work.
Assignment 2 Grading Criteria
Evaluated and explained the legal and ethical aspects of the contract and the renewal clause.
Explained the applicability of the Uniform Commercial Code to the case.
Applied the legal principles to the facts to describe potential outcomes.
Supported statements with reasons and research.
Applied APA standards for editorial style, expression of ideas, and format of text, citations, and references.
Do you need a similar assignment done for you from scratch? We have qualified writers to help you. We assure you an A+ quality paper that is free from plagiarism. Order now for an Amazing Discount! Use Discount Code “Newclient” for a 15% Discount!NB: We do not resell papers. Upon ordering, we do an original paper exclusively for you.
The post be-careful-what-you-sign appeared first on Essay Fount.
What Students Are Saying About Us.......... Customer ID: 12*** | Rating: ⭐⭐⭐⭐⭐
"Honestly, I was afraid to send my paper to you, but you proved you are a trustworthy service. My essay was done in less than a day, and I received a brilliant piece. I didn’t even believe it was my essay at first 🙂 Great job, thank you!"
.......... Customer ID: 11***| Rating: ⭐⭐⭐⭐⭐
"This company is the best there is. They saved me so many times, I cannot even keep count. Now I recommend it to all my friends, and none of them have complained about it. The writers here are excellent."