Dontally Imports Inc.has an expiring contract that the overseas supplier is anxious to renew.However,supplier shortages caused difficulties for Dontally.Recently,it was able to secure a reliable,alternate source to meet its obligations to its large merchant customers.Which of the following actions should the legal risk department recommend regarding expiring contracts?

Question

Quizplus · Accepted Answer

The legal risk department should recommend eliminating the risk by not renewing the contract with the unreliable supplier, as Dontally Imports Inc. has already secured a reliable alternative source.