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Genuineness of Assent - Case Problem

Page history last edited by PBworks 17 years, 1 month ago

#9 Chp 14 - Genuineness of Assent - Fraudulent Misrepresentation Case - 14-8 page 291 - WBL 10e - law1-0361

 

Facts : In 1987, United Parcel Service Company and United Parcel Service of America, Inc., hereinafter referred to as "UPS", decided to change its parcel delivery business by establishing its own airline. The transition from contract air cargo carriers to an internal air transport system was not completed until the end of 1988. UPS ultimately hired 811 pilots. During the transition, UPS expressed its desire to hire pilots who remained throughout that period with its contract carriers, 3 including Orion Air, which employed Rickert. Orion ceased operation after the UPS transition. Rickert, a captain with Orion, was not hired by UPS but did obtain employment in the spring of 1989 in a less lucrative position as a second officer with American Airlines.

 

In his suit, Rickert alleged damages flowing from the breach of contract, promissory estoppel and fraud by UPS based on promises purportedly made by an unnamed UPS management representative in a September 1987 meeting attended by Rickert and 50 to 75 other Orion pilots. During the three-week jury trial, the evidence presented by each side differed considerably regarding whether employment with UPS was guaranteed to pilots who stayed with Orion throughout the 16-month transition period.

 

Although UPS obtained a directed verdict regarding the Rickert breach of contract claim, the jury awarded Rickert all the compensatory damages claimed, $ 425,160 in lost wages to the January 1995 trial date plus $ 321,356 in future lost wages *468 plus punitive damages in the amount of $ 1 million.

 

UPS Case - click here - http://profjordan.pbwiki.com/ups

 

 

Read the case above, and answer the following questions:

1. Who won the case (name of the party - not the plaintiff, but the actual name)

2. Why did that person win? state the legal principles

3. Find the portion of your book which also corresponds to the reason given by the court in resolving the legal issue

4. Please use mostly your "own words" and only copy those portions of the case which have "key legal words or principles".


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