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book Business Law and the Legal Environment 7th Edition by Jeffrey Beatty,Susan Samuelson cover

Business Law and the Legal Environment 7th Edition by Jeffrey Beatty,Susan Samuelson

النسخة 7الرقم المعياري الدولي: 978-1305633612
book Business Law and the Legal Environment 7th Edition by Jeffrey Beatty,Susan Samuelson cover

Business Law and the Legal Environment 7th Edition by Jeffrey Beatty,Susan Samuelson

النسخة 7الرقم المعياري الدولي: 978-1305633612
تمرين 14
KwikFix, a Fortune 500 company, contracts with Allied Rocket, another huge company, to provide the software for Allied's new Jupiter Probe rocket for $14 million. The software is negligently designed, and when the rocket blasts off from Cape Kennedy, it travels only as far as Fort Lauderdale before crashing to Earth. Allied Rocket sues for $200 million and proves that as a result of the disaster, it lost a huge government contract, worth at least that much, which KwikFix was aware of. KwikFix responds that its contract with Allied included a clause limiting its liability to the value of the contract. Is the contract clause valid?
(a) The clause is unenforceable because it is unconscionable.
(b) The clause is unenforceable because it is exculpatory.
(c) The clause is enforceable because both parties are sophisticated corporations.
(d) The clause is enforceable because $200 million is an unconscionable claim.
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Business Law and the Legal Environment 7th Edition by Jeffrey Beatty,Susan Samuelson
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