CASE STUDY: Use at least 2 references Including — Clarkson, K., & Miller, R. (2021). Business Law: Text and Cases (15th ed.). Cengage. ( Chapter12 & 13)
You are in contact with Acme Advertising (AA), and you are trying to get a contract for flyers to be mailed to prospective customers, and flyers to be handed out at stores. AA has offered a mailing of flyers and making flyers available at local grocery stores, for $10,000. You reply via email, saying, “How about $7,000?” AA does not reply.
Instead, AA mails your flyers and makes them available in stores. AA sends you a bill for $8,000.
The ads are a hit, and the stores are unable to keep up with demand. Your product sells out, and the stores are unwilling to give rainchecks to customers who are unable to buy the product. Customers are threatening to sue the stores, which are threatening to sue you.
Your boss wants to know what liability if any, you believe the company may have to pay for the flyers, and whether there may be any damages payable as a result of potential lawsuits from customers or the stores. What ethical issues arise in this scenario? Answer your boss.