Business Law

Richard Rogers started building his home in Newbury Park in late summer. He was
hoping that once the house was done, he’d finally get a chance to impress Tara Thompson.
Richard’s business was also about to start booming. He recently created a company selling
caffeine pills called ACME Energy Pills. On the label, he placed a picture of Michael Jackson
giving thumbs up. He had also just started airing a late night commercial for the pills and
claimed that by taking them, your IQ would double after a week and triple after a month. He
also claimed the pills, as an unintended side affect, helped men become more attractive to
women.
One day Richard went onto his property and noticed a layer of black dust that had settled
across the land. He wondered if it was coming from the Mr. Sparkle refinery a mile away which
had a large smoke stack that spewed black smoke twenty-four hours a day.
Later that evening Richard decided to go to dinner at Café Silvestre – the Pony as he
called it. While there, he heard someone choking and he decided it was time to be the hero he
always believed he was. To his surprise the choking was coming from his nemesis Doug, who
was nearly blue by now. Richard decided to perform the Heimlich and reached around Doug and
pressed on his chest area dislodging the chicken bone from Doug’s throat. While in the process,
Richard accidentally broke Doug’s ribs. Also, Doug had ordered a vegetarian salad and there
shouldn’t have been a chicken bone even near his food.
On the way home, Richard sees Julian on the street. Julian owes Richard $20.00 so
Richard speeds up his car, flashes his lights, honks is horn and runs over Julian’s foot and speeds
away.
Tara decides to go see this new property Richard is building his house on. She had a
couple of beers before she got there and thought it would be cool to shoot her gun at some cans
on Richard property.
A few months later, Richard’s house is nearly complete, so he has a party. Tara is invited
and comes over and enters through the garage. There is some exposed wire and some water on
the floor. As she steps into the puddle, she is electrocuted and surprisingly only burns off her
hair. Doug also comes to the party after receiving an invite. He is skeptical because he and
Richard hate each other. Once he arrives, he realizes it’s a pool party and there are hundreds of
people out by the pool. He forgot his swimsuit, but Richard offers him one. Doug goes to the
bathroom to change. Richard sees him and locks the door from the outside. Doug couldn’t
escape. About an hour later Richard lets Doug out. Doug jumps in the pool, but soon realizes he
is naked. Richard gave him a swimsuit made from material that’s dissolves in water. Doug is so
embarrassed and runs out of the party while everyone points and laughs at him. AS he runs
away he yells to the crowd that Doug was convicted of a felony. This was partly true – Richard
was charged with a felony, but never convicted.

Two days later, Doug meets with Cousin Vinnie. Doug offers Vinnie $5,000.00 to
“knock off” Richard. Vinnie agrees and the two shake hands. Meanwhile, Richard buys 10,000
fishing lures for $500.00 from Vinnie, and the two shake hands and have a verbal agreement.
Richard then offers to buy a boat from Butch Danes. Richard offers $50,000.00. Butch says
he’d do it for $50,001.00. Richard doesn’t say anything, but two days later Butch shows up with
the boat to Richard’s house and demands payment. Richard says no and Butch threatens to sue.
Three days later, Butch enters a contract to sell the boat to Buddy, who is a senior in high
school. The very next day, Richard drops off an envelope on Butch’s front door step with
$50,001.00 in cash. Butch delivers the boat to Buddy the following morning and sees the
envelope from Richard after he returns home. Butch immediately goes back to Buddy asking for
the boat back and offers to return his money. Buddy refuses.
Tara decides to hire Doug to mow her lawn every Wednesday for a month. She puts the
contract in writing. The following Wednesday, Lucy shows up and starts mowing the lawn.
Tara files a lawsuit immediately claiming that she hired Doug, not Lucy and that mowing the
lawn was a man’s job!
Finally, Richard was ready for a new chapter. Doug and Tara were crazy and it looked
like Julian was out of the way. Richard decided that he needed some extra cash to start his road
to recovery. He thought that Disney was making too much money and he’d capitalize on this
Mickey Mouse character. Plus, Walt Disney also almost had been dead for fifty (50) years.
Walt Disney died on December 15, 1966 and Mickey Mouse was first published in 1928. He
started making his own Mickey Mouse cartoons, but this time colored him purple instead of
black.
What Rights do the parties have?
What defenses, if any, due the parties have?
Please use the I.R.A.C. format when answering each question. Do not combine issues, but rather
break them out individually and methodically go down the exam and analyze each issue.

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