I. SYLLABUS LAW OF CONTRACTS, RAGAVAN’S SECTION FALL - 2014 INTRODUCTION Welcome to the College of Law and the Law of Contracts! This course will provide a detailed overview of the law of contracts and how the law of contracts governs our simple everyday transactions. My role as your teacher is to help you get over the challenges of appreciating and understanding the new sets of language and principles that you will be exposed to during the course of this semester. In order to make your progress easy, the following material gives you broad tailored rules that streamline the course content. Class Schedule Our class will meet every Wednesdays and Thursdays between 2-30 and3-45 pm and Fridays from 2.30 to 3.20 pm in Classroom No. 5. As you are probably aware, this is a 4 credit course scheduled to fit three classes per week. A schedule of assignments is provided at the end of the syllabus. The syllabus will be our general guide for the classes. If class discussion slows us down, we will begin the next class from where we left. There are 42 classes scheduled for the fall semester. The syllabus assigns reading for 38 classes, thereby allowing flexibility for the pace of coverage and revisions at the end of the semester. If we fall out of the syllabus, which is very likely to happen, please be prepared with the next 20 assigned pages. Moreover, I use the terms “catch-up” or “problems” continually in the reading agenda. These classes are scheduled for us to either catch-up with the syllabus (if we lag behind) and/ or work on some problems for you to get a feel of problem-solving. Changes or revisions, if any, to specific reading assignments in the syllabus will be notified to your OU e-mail and/or in class. Please note that I reserve the right to schedule make-up classes for any classes that may be cancelled in the semester. Required Casebook and Supporting Materials Knapp, Crystal & Prince, Problems in Contract Law (7TH ed). Knapp, Crystal & Prince, Rules of Contract Law. (STATUTORY SUPPLEMENT). Attendance & Class Preparation I expect that you will be in class on time and do not expect you to get out of class barring exceptional circumstances. You are expected to attend, be on time, and be prepared for class each day of the semester. For our classes, I assume that you have analyzed each 1 principal case and carefully studied the accompanying notes. A roll sheet will be distributed at the beginning of each hour. Your signature certifies that you are present and prepared for class. If you are not prepared on a given day, let me know before the start of class so I do not call on you. This will save you the embarrassment and save the class wasted time. You should NOT abuse this privilege; its exercise insures that you will be called on in the near future. If I sense that students are misusing the unprepared policy or any other class privileges, I reserve the discretion to deduct points from your final grade even after just one or two such instances. You are allowed three absences over the semester (including those that are specifically excused by me). For the purposes of this attendance policy, an unprepared or late walkin can count as an absence even if specifically excused. Any absence (or unprepared) beyond the allowed limit will result in grade reduction. Excessive absences will result in withdrawal from the course. Generally, I do not care about the reason for an absence; you are adults who are responsible for your own decisions. Nevertheless, absences will be excused for extraordinary reasons such as jury duty or a death in the family. I expect students to behave professionally in a manner befitting the stature of law students. I reserve the discretion to remove you from class temporarily or permanently for abuse of any policy or unprofessional conduct. (For e.g., unexcused unpreparedness in class, sitting in class and stating that you want to be marked absent for that day because you are unprepared when called on, abuse of computers or ipads or cell-phones, etc,.). Computers Please note that use of computers in class is a privilege. As a general rule, use of the computer for non-class purposes is strictly prohibited. I alone have the discretion to permit such use, for whatever purposes within class. If I decide that your use interferes with my pedagogical objectives, I may instruct you to stop using computers in class. Similarly, I reserve the right to ask you to stop using the computer for any suspected violation of the computer policy. Use after an instruction to not use will result in reduction of total grade points. Please note that I never hesitate to alter grades downwards for misusing computers in class. Office Hours I generally maintain an open door policy to encourage you to come by my office at any time. Nevertheless, I strongly encourage you to take an appointment with me. I also encourage you to contact me by e-mail, either to make an appointment, or to ask questions or comment about the reading or class discussion. I check my e-mail regularly and I try to respond promptly. I generally assume that your OU e-mail ID (and any other ID that you use to send me an e-mail to me) is active. I want to stress my availability, subject to a few caveats dictated by educational concerns. 2 1. For the first few days, be aware that the initial weeks of law school are expected to seem confusing, uncertain, disjointed, and disorganized. It is inevitable and perhaps even desirable to stimulate independent and active thinking. Do not despair. For most students, things clear up soon enough. I am happy to help you get more clarity provided you invest the hard work required and be ready with your questions. Also, do not disadvantage yourself by waiting until we are well into the middle of semester to tell me that you never understood anything that was ever taught in this class. I am afraid that at that stage my help may not be of much use. 2. For specific questions about the materials or classes, think out your questions in advance and be ready with them before we meet. When what you have worked out to me, we will have something concrete to work with. 3. Don’t be afraid to ask your questions in class so we can all benefit from your thinking. Questions or doubts that bother you are probably shared by others. There’s no such thing as a stupid question. Please be aware, sometimes if a question deserves more time or is tangential to the issue we are discussing, I may choose to address it privately to avoid taking the class off-track. II. THE CLASS Law school classes can be very different from traditional undergraduate classes especially since we use the case study method which is significantly different from other methods of studying. Later as lawyers, you will still use decided cases to solve real life issues of your clients. Thus, the case study method is not a passive exercise and is not intended to tie the material into a neat package. Instead, class should build on the basic understandings obtained from your careful preparation, answer some of your questions, and raise many new questions. In class, you will note that the professor can use the same legal principles and argue for both parties in the case. Appreciate the differences and understand them. I will call on you in-class. The question and answer dialogue is designed to open the way to deeper understanding (and further questions). I strongly encourage each person to actively participate in class discussions. Participating in class forces you to listen more closely to the arguments made so you can evaluate their merits; your comprehension of the material is thus improved. Do not bring Legalines, Casenote Legal Briefs or other "canned briefs" into my class. Importantly, note that in law, there is no right answer or wrong answer. Thus, the crux is to spot the right issue, to analyze using legal principles and arrive at your independent conclusion. 3 III. COURSE This course is meant to help you understand how lawyers think, to show you the skills they use to solve problems, and to present basic principles of contract law. It is not my primary goal to teach you a comprehensive set of "black letter" legal principles for you to memorize and reproduce on the final examination. Instead, the objective is for you to understand the law, apply it to the situation you are confronted with to finally develop a sound legal conclusion. Case Study Method The course will follow a case-study method. The use of this method allows us to understand the application of legal principles using the study of decided cases, and as you will notice throughout the semester, we will deal with one case after another. Your goal is to understand how each case applies the available legal principles to arrive at a decision. In this regard, it is good for you to appreciate how the court culls out the issue that is the principal question(s) for answer and what legal principles are applied to address that issue. Appreciate how the same legal principles and the same set of facts are used in each case by both the parties to present arguments favorable to their respective positions. Also, understand how and what principles the court uses to arrive at a decision. Once you are done reading the case, spend some time reflecting on whether the assigned cases are consistent with each other, and if not, if there is a way to resolve the apparent inconsistencies. Try to analyze how the assigned cases fit into the overall chapter organization. As you read, understand the following: a) b) c) d) e) f) g) h) i) j) who the parties are, what they want from each other, the procedural history in making those claims, the main issues in the case, what questions the court goes through the decide the main issue of the case, what facts the court uses to make its decision, the narrow grounds of the court's decision, what major arguments the court adopts, and what rules the court enunciates, and how these rules have value as a precedent. If there is a dissenting or concurring opinion, note the writer's disagreement with the majority opinion. Note that as lawyers you will be exposed to new terms. Furthermore, old terms may assume new meaning. Understand and try to learn the meaning of new 4 terms or procedures before class. If you are unable to understand or appreciate the meaning of any term used in its context, please always contact me. READING SCHEDULE PLEASE NOTE: If we fall out of the syllabus for any reason, which is very likely to happen, please be prepared with the next 20 assigned pages. 1 Introduction to Contract Law pp. 5-26 Allen v. Bissinger Feldman v. Google 2. Basis of contractual obligation pp. 31-52 Ray v. Eurice Bros Lonergan v. Scolnik Izadi v. Machado 3. Basis of contractual obligation pp. 54-70; Normille v. Miller Peterson v. Pattberg Cook v. Coldwell Banker 4. 5. Basis of contractual obligation Catch-up; Hamer v. Sidway Pennsy v. American Ash pp. 97- 108 Consideration pp. 113-134 Dougherty v. Salt Batsakis v. Demotsis Plowman v. Indian Refining Co 5 6. UCC pp.142-158 Jannusch v. Naffziger E.C. Styberg v. Eaton 7. UCC pp. 159-174 Princess Cruises v. General Electric Brown v. Hercules 8. Electronic Contracting pp. 186-194 (catch-up) Hines v. Overstock 9. Promissory Estoppel and Restitution pp. 209-228 Kirksey v. Kirksey Harvey v. Dow King v. Trustees of Boston 10. Promissory Estoppel and Restitution pp. 229- 233; 247-258 Katz v. Danny Day Care James v. Gimble Bros Drennen v. Star Paving Co 11. Promissory Estoppel and Restitution pp. 261-271; 278-285; Berryman v Kmoch Pops cones v. Resorts Credit Burea v. Pelo 12. Promissory Estoppel and Restitution pp. 286-304 Commerce v. Equity Watts v. Watts 6 13. Promissory Estoppel and Restitution pp. 308-323 Mills v. Wyman Webb V. McGowin 14. Statute of Frauds Crabtree v. Arden Alaska Democratic Party v. Rice 15. Principles of Interpretation & Parole Evidence Joyner v. Adams Frigaliment v. BNS International Sales 16. Principles of Interpretation & Parole Evidence pp. 325-336; 347-359 catch-up; problem Catch-up; problem pp. 374-390 pp. 393-408 C & J Fertilizers v. Allied Mutual Thompson v. Libby 17. Principles of Interpretation & Parole Evidence Thompson v. Libby Sherrod v. Morrison 18. Implied Terms and Warranties pp. 408-416; 431-436 catch-up; problems pp. 457- 479 Wood v. Lucy Leibel v.Raynor Seidenberg v. Summit Bank 19. Implied Terms and Warranties pp. 489- 499 & problems Locke v. Warner Bros 7 20. Implied Terms and Warranties pp. 515-530 Bayliner v. Marine Caceci v. Di Canio 21. Avoiding Enforcement pp. 533- 538; 542-553 Dodson v. Shrader Hauer v. Union State Bank 22 Avoiding Enforcement pp. 553-569; Totem Marine v. Alyeska Odorizzi v. Bloomfield 23 Avoiding Enforcement pp. 571-595 Syester v. Banta Hill v. Jones 24. 25 Avoiding Enforcement pp. 595-610 Park 100 v. Kartes Williams v. Walker Thomas (Problems & Catch-up) Justification for Non-performance pp. 663-688 Lenawee County v. Messerly Wi-Fred v. Metro Board 26 Justification for Non-performance pp. 688- 713; Karl Wendt v. Inter. Harvester Mel Frank v. Di Chem 8 pp. 717 - 741 27 Justification for Non-performance Alaska Packers v. Domenico Kelsy Hayes v. Galtaco Brookside v. Mama Rizzio 28. Rights and Duties of Third parties pp. 745-755 Vogan v. Hayes 29. Rights and Duties of Third parties pp. 767-786 Herzog v. Irace Sally Beauty v. Nexxus Products 30. Consequences of non-performance pp. 789-806 Oppenheimer v. Oppenheim JNA Realty v. Cross Bay 31. Consequences of non-performance pp. 809-827 Jacob v. Young Sakett v. Spindler 32. Consequences of non-performance pp. 828- 834 & one problem Truman v. Schupf 33. Expectation damages pp. 862-874 Handicapped Children v. Lukaszewski American Std. v. Schetman 9 34. Expectation damages pp. 874- 887 Hadley v. Baxendale Florafax Int v. GTE Market Resources 35. Expectation damages pp. 891-895; 910-916; Rockingham v. Luten Jetz v. Salina 36. Expectation damages pp. 916-934 Zapata v. Hearthside Erlich v. Menezes 37. Alternative to Expectation damages - UCC pp. 943 -963 38 & Alternative to Expectation damages pp. 971-1000 39. 40. Wartzman v. Hightower US Coastal Steel Erectors v. Algernon City Stores v. Ammerman Barrie School v. Patch Catch-up and more pp. 1036-1053 10 A NOTE ON THE FINAL EXAMINATIONS Final Examination 1. The final exam is scheduled on December 5th at 9: am. The exam will be for 100 points. The questions will probably be a combination of a few short answers and the traditional law school essay questions designed to test application of substantive law to factual situations using the case method of study. I am generally available to proctor the exam. If not, I will notify you in advance and ensure that someone else is around to answer your questions. Be aware that in any event, I will not leave you without adequate guidance and will take my absence into consideration while grading the exams. DO NOT PSYCHE YOURSELF INTO A PANIC BEFORE THE EXAMS. In my experience, those who are able to control their panic do much better in the exams than those who are unable. 2. For the exam, I expect you to spot the issues, analyze them with knowledge of the cases that we discussed in class. My essay questions typically focus on issue spotting issues and analysis rather than seeking basic recall of many contract doctrines. This type of test correlates with the type of class discussions we will have. The essay questions are fact situations which require you to identify several major and minor legal issues and organize your analysis of those issues into a cohesive, logical answer. I expect you to understand the law, the precedents and present a discussion of the exam question accordingly. 3. Law school examinations are graded anonymously. The law school will assign you an exam number; professors cannot learn a student's identity until after the final exam grades have been turned in. It is your responsibility to get an exam number. Please do not include anything in your answers which might identify you (except, of course, your number). 4. Computers: I encourage the use of laptop to write your examination. You will get further rules in this regard from the computer department well before the exams. 5. After exams have been anonymously graded, I always factor in students attendance and participation to determine final grade. The professor reserves the discretion to do upward or downward adjustments, particularly where the numerical score falls near the border between grade levels. Similarly, I reserve the right to award points for class participation or to deduct points for unprofessional behavior in class like unexcused absences or unpreparedness in class. Thus, your final grade may be affected by your in class activities. 11 6. I will try to give you opportunities to have optional practice for the exams in advance; we will allot some class time to discuss exam-taking techniques and analyzing the practice exam. 7. Any student who has a disability that may prevent him or her from fully demonstrating their mastery of the material should contact the Associate Dean as soon as possible. Dean McCall will advise you on the procedure to obtain a reasonable accommodation necessary to make the most of your educational opportunity. Please note that unless you register your need with the University of Oklahoma Office of Disability Services, I may be unable to give you special privileges on account of your disability. 8. Generally, what I say about this course supercedes what anyone else, including your seniors or mentors, may say on the same subject. In the event you need clarification, it is your responsibility to seek me out for such clarifications. On a general note, I reiterate my assumption that your enrolment in law school signifies that you are capable of conducting yourself professionally. I hope you enjoy the semester with me. I look forward to meeting you soon. 12