Elements of a contact due 16 Oct
Read the Case Campbell Soup Co. v. Wentz in the text. Answer the following questions:
1. What were the terms of the contract between Campbell and the Wentzes?
2. Did the Wentzes perform under the contract?
3. Did the court find specific performance to be an adequate legal remedy in this case?
4. Why did the court refuse to help Campbell in enforcing its legal contract?
5. How could Campbell change its contract in the future so as to avoid the unconsionability problem?
Facts:
Per
a
written
contract
between
Campbell
Soup
Company
(a
New
Jersey
company)
and
the
Wentzes
(carrot
farmers
in
Pennsylvania),
the
Wentzes
would
deliver
to
Campbell
all
the
Chantenay
red
cored
carrots
to
be
grown
on
the
Wentz
farm
during
the
1947
season.
The
contract
price
for
the
carrots
was
$30
per
ton.
The
contract
between
Campbell
Soup
and
all
sellers
of
carrots
was
drafted
by
Campbell
and
it
had
a
provision
that
prohibited
farmers/sellers
from
selling
their
carrots
to
anyone
else,
except
those
carrots
that
were
rejected
by
Campbell.
The
contract
also
had
a
liquidated
damages
provision
of
$50
per
ton
if
the
seller
breached,
but
it
had
no
similar
provision
in
the
event
Campbell
breached.
The
contract
not
only
allowed
Campbell
to
reject
nonconforming
carrots,
but
gave
Campbell
the
right
to
determine
who
could
buy
the
carrots
it
had
rejected.
The
Wentzes
harvested
100
tons
of
carrots,
but
because
the
market
price
at
the
time
of
harvesting
was
$90
per
ton
for
these
rare
carrots,
the
Wentzes
refused
to
deliver
them
to
Campbell
and
sold
62
tons
of
their
carrots
to
a
farmer
who
sold
some
of
those
carrots
to
Campbell.
Campbell
sued
the
Wentzes,
asking
for
the
court's
order
to
stop
further
sale
of
the
contracted
carrots
to
others
and
to
compel
specific
performance
of
the
contract.
The
trial
court
ruled
for
the
Wentzes
and
Campbell
appealed.
Issues:
Is
specific
performance
an
appropriate
legal
remedy
in
this
case
or
is
the
contract
unconscionable?
Discussion:
In
January
1948,
it
was
virtually
impossible
to
obtain
Chantenay
carrots
in
the
open
market.
Campbell
used
Chantenay
carrots
(which
are
easier
to
process
for
soup
making
than
other
carrots)
in
large
quantities
and
furnishes
the
seeds
to
farmers
with
whom
it
contracts.
Campbell
contracted
for
carrots
long
ahead,
and
farmers
entered
into
the
contract
willingly.
If
the
facts
of
this
case
were
this
simple,
specific
performance
should
have
been
granted.
However,
the
problem
is
with
the
contract
itself,
which
was
one-sided.
According
to
the
appellate
court,
the
most
direct
example
of
unconscionability
was
the
provision
that,
under
certain
.
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Elements of a contact due 16 OctRead the Case Campbell Soup Co. v..docx
1. Elements of a contact due 16 Oct
Read the Case Campbell Soup Co. v. Wentz in the text. Answer
the following questions:
1. What were the terms of the contract between Campbell and
the Wentzes?
2. Did the Wentzes perform under the contract?
3. Did the court find specific performance to be an adequate
legal remedy in this case?
4. Why did the court refuse to help Campbell in enforcing its
legal contract?
5. How could Campbell change its contract in the future so as
to avoid the unconsionability problem?
Facts:
Per
a
written
contract
between
Campbell
Soup
Company
(a
New
Jersey
company)
and
the
Wentzes
(carrot
farmers
in
Pennsylvania),
the
Wentzes