WBU BUAD3318 CHAPTER 13 ESSAY

Logan borrows $150,000 from Ready Money Credit & Debit to buy new equipment for Logan’s Steakhouse. When Logan does not pay the loan, Ready Money wants to transfers the right to the payment to Action Collection Agency. Action Collection agrees to pay Ready Money for this right, but for a price that is less than the amount owed. Can Ready Money transfer this right to Action Collection without Logan’s consent? If so, and Ready Money committed fraud in the deal with Logan, could Logan legiti­mately refuse to pay Action Collection? Explain.

Lucy contracts to buy six cases of vintage wine from Mountainside Vineyards for $1,200. The contract states that delivery is to be made at Lucy’s residence "on or before June 1, to be used for niece’s wedding reception on June 2." On June 1, Mountainside’s delivery vehicle is involved in an accident, and no wine is delivered to Lucy. On the morning of June 2, Lucy buys the wine from Nature’s Vintner. That afternoon, just before the reception, Mountainside tenders delivery of the wine at Lucy’s residence. Lucy refuses tender. Mountainside sues Lucy for breach of contract. How is the court most likely to rule?