Business Law Essay
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Rutgers University *
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Course
140
Subject
Law
Date
Feb 20, 2024
Type
Pages
7
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Business Law I
Analyze a Contractual Situation
Real Food Restaurant Group has every right to submit a contract claim against
Culinarians. The contract between Culinarians and Real food Restaurant Group is considered a
bilateral contract. It's considered a bilateral contract because Real food Restaurant Group
promised to pay Culinarians 3 of the eatery's gains plus her regular payment as Head Chef,
where Culinarians promised to complete the menu for their new conception eatery. First,
Culinarians must review the original contract she had with Real food Restaurant Group to insure
that she's or isn't meeting the conditions in the contract. A contract is a fairly enforceable pledge
or set of pledges (Kubasek, 2019.) For a contract to live it must contain the necessary four
rudiments. These four rudiments are the agreement, consideration, contractual capacity, and legal
obligation (Kubasek, 2019.) To fete if the contract exists, Culinarians will have to examine her
employment contract for the four rudiments of a contract. The agreement consists of an offer by
the offeror and an acceptance of the terms by the offeree (Kubasek, 2019.) Real food Restaurant
Group offered Culinarians a creation, which makes them the offeror, and Culinarians accepted
the offer, which makes her the offeree. Consideration consists of what each party gets in
exchange for their pledge within the contract (Kubasek, 2019.) Real food Restaurant Group is
swapping 3 of the eatery’s gains within the first time of operation plus her regular payment as a
Head Chef to Culinarians. Culinarians is swapping her time, knowledge, and employment with
Real food Restaurant Group. The contractual capacity is the legal capability to agree (Kubasek,
2019.) The offeror and offeree must have legal capacity in to enter into a contract. In
Culinarians’case, everyone within the agreement is at legal capacity to enter the employment
contract. The last element, legal obligation, means the contract can not be illegal or against
public policy (Kubasek, 2019.) Culinarians employment contract has legal obligation because
both parties freely entered the contract. After examining Culinarians' employment contract, it's
linked that thenon-compete agreement is in fact, a contract that exists between Culinarians and
Real food Restaurant Group. Now Culinarians must estimate if her contract with Real food
Restaurant Group is enforceable. Contracts feel to be fairly binding when all four rudiments live,
but one of the parties may have a defense against the contract’s enforcement (Kubasek, 2019.)
Contracts must be entered into freely by both parties. In Culinarians’case, both parties in the
employment contract fit that description. The contract must also fit proper form, which
substantially means writing is absent. Cooks' employment contract was in writing, so it meets the
proper form of a contract. Therefore, the employment contract is enforceable. Cooks must now
evaluate if she is bound to the non-compete agreement with Real food Restaurant Group. Cooks
was not to be involved in any competition, directly or indirectly, with Real food Restaurant
Group in the event of termination. In her case, she was unaware of their new healthy concept
restaurant and menu. When she left Real food Restaurant Group, she was still under the
impression that they were trying to create a non-healthy menu, which consisted of fried food.
Being unaware, she started her own company, which coincidentally also catered to the
health-conscious community. Once it was brought to her attention that Real food Restaurant
Group was also selling healthy food, she is legally bound to terminate her business. The
employment contract is also considered an express contract because it is a written contract with
terms Cooks and Real food Restaurant Group must abide by. This contract is also considered to
be an executory contract because only Cooks performed her terms of the contract. She created a
menu for Real food Restaurant Group, but because of its failure, Real food Restaurant Group did
not pay cooks the extra 3% of the restaurant’s profits. This contract is informal because no
formalities were required when making the contract, it is a simple contract.Most importantly, this
employment contract is valid. The contract is valid because it can be executed. The enactment of
fraud requires a contract to be written to be executed (Kubasek, 2019.) Thus, Real food
Restaurant Group can fairly submit a contract claim on Culinarians for her breach of the
employment contract. She agreed to and inked thenon-compete agreement that stated she
couldn't work for or enjoy a business that directly or laterally competes with Real food
Restaurant Group for ten times, in the event of her termination. Thus, Real food Restaurant
Group isn't bound to compensate Culinarians for her menu ideas, and Discharge of a contract
happens when the crucial scores within the contract end. There are a many ways a contract can
come to an end. Contracts can discharge by performance, fraud, breach, and agreement (Wicks,
2016.) Utmost contracts are performed successfully and discharged after. For a contract to be
discharged with performance, the scores of the parties involved in the contract have to come to
an end (Kubasek, 2019.) Typically, performance is how most contracts are discharged. A contract
is discharged without performance when there has been a breach in the contract (Kubasek, 2019.)
In Culinarians’case, her breach of contract redounded in a discharge without performance. Real
food Restaurant Group is now entitled to damages from Culinarians for her breach of contract.
After examining Culinarians' employment contract, it's linked that thenon-compete agreement is
in fact, a contract that exists between Culinarians and Real food Restaurant Group. Now
Culinarians must estimate if her contract with Real food Restaurant Group is enforceable. Most
importantly, this employment contract is valid. The contract is valid because it can be executed.
The enactment of fraud requires a contract to be written to be executed (Kubasek, 2019.) Thus,
Real food Restaurant Group can fairly submit a contract claim on Culinarians for her breach of
the employment contract. She agreed to and inked thenon-compete agreement that stated she
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