Reference no: EM131379350
Business Law
You are a new associate at a CPA firm. Your boss has explained that a new client has come to the firm with a small but growing company that makes a granite cleaning product which is sold in several major retail stores. The client has been operating as a sole proprietorship, but now thinks that because of the growth of the company a different business entity might be advantageous. The client has also informed you that they have recently encountered a problem with their distributor. When the product arrived at the distributor's location, the distributor rejected the product, saying that they have received complaints from consumers that the spray bottles did not work correctly. The distributor further stated that the bottles sprayed the product in a dangerous way that caused injury to several consumers.
Your boss has asked you to prepare a memorandum that you will present to your boss and the client that addresses the following:
• Recommend a new business entity to form the business and explains the advantages of the new entity;
• Outline the client on his or her new duties and liabilities as an owner/officer/ member of the new entity in regards with the newly selected entity;
• Discuss contract issues: Performance and breach of contract, remedies, risk of loss, and non-conforming goods in regards to your client's relationship with their distributor;
• Analyze the potential liability to consumers, under relevant laws and case law in regards to the production and distribution of the granite cleaner in a spray bottle.
The paper
• Must be 10 to 15 double-spaced pages in length (not including title and references pages) and formatted according to APA style as outlined in the Ashford Writing Center.
• Must include a separate title page with the following:
o Title of paper
o Student's name
o Course name and number
o Instructor's name
o Date submitted
• Must use at least four scholarly sources in addition to the course text.
• Must document all sources in APA style as outlined in the Ashford Writing Center.
• Must include a separate references page that is formatted according to APA style as outlined in the Ashford Writing Center.
Miller, R. L. (2014). Business law: Text and cases - commercial law for accountants. Mason, OH: South-Western Cengage Learning.
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