Miranda Airways, a commercial air carrier, has a contract with Wurtherton Inc., an airplane manufacturer, to purchase a new plane.Due to a sudden shortage of cash, Miranda Airways goes to MetrosBank.MetrosBank issues a document to Wurtherton that if Miranda does not pay for the transaction, MetrosBank would.Wurtherton considers the offer, and then sends an acceptance with additional terms.The additional terms stipulates that Miranda Airways could have the new airplane for a period of 10 years, and then return it to Wurtherton.Miranda Airways agrees to the acceptance, and Wurtherton hands the new airplane over to them.
-What is the nature of the contract between Miranda Airways and Wurtherton?

Question

Quizplus · Accepted Answer

The additional terms of the contract stipulate that Miranda Airways could have the new airplane for a period of 10 years, and then return it to Wurtherton. This indicates that the nature of the contract is a lease, rather than a sale of goods. Choice A is incorrect because there is a specific clause for returning the goods after a set period of time. Choice C is incorrect because there was no new offer made, only a change to the terms of the original offer. Choice D is incorrect because there is no mention of an option to buy or sell in the contract.

Miranda Airways, a Commercial Air Carrier, Has a Contract with Wurtherton