Business Law DB

ANSWER THE FOLLOWING QUESTIONS IN YOUR OWN WORDS.
Q1. Some states give consumers the right to cancel certain contracts for any reason within a short period of time after entering into them. For example, consumers in California can get out of gym membership contracts by sending the gym a cancellation notice within five business days of joining. Similar statutes cover insurance, weight loss services, door-to-door sales, and home repair contracts. If these agreements meet all of the requirements for a contract, why would a state allow people to get out of them so easily? Is this good policy? Alternatively, if consumers can cancel these contracts, why not allow everyone to cancel any contract within a few days?

Q2. Locate and read one or more of the contracts you have entered into in the past yearan apartment lease, a university-housing residency agreement, a mobile phone service agreement, terms of use for a fee-based website, or a retail sales agreement for a personal computer. How long is it? How much of it do you understand? Are any of the terms particularly surprising or unfair? If given the opportunity, would you void the contract? There is no need to divulge any personal information in this discussion board. Simply discuss if, and how, the information you have learned so far in this course may have changed your decision.
Q3. Contract law gives minors substantial legal protection. But does a modern high school student need so much protection? Older teens may have been naive in the 1700s, but today, they are quite savvy. Should the law change so that only younger childern, perhaps those aged 14 and under, have the ability to undo agreements? If so, what changes would you recommend? Or is the law reasonable the way it is currently exists?
Q4. Bath Iron Works (BIW) offered a job to Thomas Devine, contingent on Devine’s passing a drug test. The testing was conducted by NorDx, a subcontractor of Roche Biomedical Laboratories. When NorDx found that Devine’s urinalysis showed the presence of opiates, a result confirmed by Roche, BIW refused to offer Devine permanent employment. Devine claimed that the ingestion of poppy seeds can lead to a positive result and that he had tested positive for opiates only because of his daily intake of poppy seed muffins. In Devine’s suit against Roche, Devine argued, among other things, that he was a third party beneficiary of the contract between his employer (BIW) and NorDx (Roche). Given this factual background, fully discuss the following questions.

1. Is Devine an intended third party beneficiary of the BIW-NorDx contract? In deciding this issue, should the court focus on the nature of the promises made in the BIW-NorDx contract itself or on the consequences of the contract for Devine, a third party?

2. Should employees whose job security and reputation have suffered as a result of false test results be allowed to sue the drug-testing labs for the tort of negligence? In such situations, do drug-testing labs have a duty to the employees to exercise reasonable care in conducting the tests?

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