lawsuit

I.        John Jacobs is a 17-year-old high school senior.  Most of his friends on Facebook have expensive cars.  Although he has never seen these cars, they must exist because his friends have posted pictures of them on Facebook.  John believes everything he reads and sees on Facebook.  John considers a new car to be a necessity. He decides to ride his bicycle to the local Chevrolet dealer.  Once there, he decides to buy a 2010 Corvette.  The salesman is reluctant to sell the car to John until John says that his father will co-sign the loan.  The salesman is still reluctant so he calls John’s father.   John’s father refuses to co-sign the loan.  John convinces the salesman that he can make the payments without his father’s help.  The dealer then agrees to sell the car to John, who signs a contract agreeing to buy the car and make 60 monthly payments.  John also makes a $500 down payment. John misses the first three monthly payments because he spends all his money on gas.  Even worse, he challenges all takers to drag races and loses a fortune in bets.  John decides to return the car to the dealer for a full refund.  The car dealer refuses to take the car back and demands that John make the past-due payments and all future payments. John then sues the car dealer for his $500 down payment, and asks the court to invalidate the contract. The car dealer sues John for the 3 payments that John has missed. What will be the outcome of each lawsuit?  Fully explain your answer.

II.        Jack and Jill are drug smugglers.  They make monthly trips to Mexico to buy bulk quantities of drugs.  They then load them in their truck’s false gas tank and drive them back to the U.S. Their truck is getting old and they decide to buy a new one.  However, the new truck does not come from the factory with a false gas tank in which to hide the drugs.  Jack decides to bring the truck to the Mechanic’s auto repair garage to have a false gas tank installed. When Jack arrives at the garage he makes the following request to the Mechanic:  “I need a spare gas tank installed in my truck within 2 days.  Don’t worry about connecting it to the engine because I never intend to fill it with gas, just drugs. “ The mechanic agrees to install the gas tank only if Jack agrees to sign a written contract. The mechanic writes the following contract:  “Mechanic agrees to install a gas tank in Jack’s truck.  Jack agrees never to use the truck for an illegal purpose and will pay Mechanic $1000 for the work.”   Jack and the Mechanic both sign the contract. After the Mechanic installs the tank, Jack refuses to pay. The Mechanic brings a lawsuit against Jack for breach of contract.  Will he win?  Fully explain your answer.

III.         John Harrington, Jr. (“Junior”) is a 24-year-old, 3-pack-per-day smoker.  John Harrington, Sr. (“Senior”) is a very concerned parent.  On January 1, Senior says, “Junior, if you will stop smoking for the entire year, I will pay you $5,000.”  Senior believes that if Junior will stop smoking for one year, he will “kick the habit.”  Junior reluctantly accepts his father’s terms, and extinguishes his half-smoked cigarette with the heel of his boot.

On January 1 of the following year, Junior approaches Senior and says “Dad, time to pay up.”  Senior has no reason to doubt that Junior has refrained from smoking for an entire year, but states “Son, this was for your benefit.  The gift I have given you is the gift of life, and you are now likely to enjoy that gift longer, because you are now much less likely to contract cancer.  Health statistics show that non-smokers live ten years longer than smokers.  Enjoy your new-found life, but I will not pay you the $5,000. In other words, you have not suffered any detriment as a result of our agreement,  therefore we have no enforceable contract.”

Does Senior owe Junior the $5,000? Is there an enforceable contract between father and son? If there is not an enforceable contract, does Junior have any other theory of recovery? Is Senior ethically obligated to pay Junior the $5,000?

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