When should you consider including in contract clause

Assignment Help Operation Management

Reference no: EM132219002

In 2007, real estate developer, Igor Krivoruchko, contracted with Ner Tamid Congregation of North Town, an Illinois not-for-profit corporation, to purchase property Ner Tamid owned on Rosemont Avenue in Chicago. After postponing the closing once, Mr. Krivoruchko refused to go forward with the deal because he said he could not obtain the kind of financing he hoped to get. The purchase contract contained no financing contingency clause, because, believing he was "creditworthy" and had not had problems in the past with the lender with which he was dealing, Mr. Krivoruchko did not desire one. Ner Tamid sued for breach of contract, and Krivoruchko defended, in part claiming commercial impracticability becuase he could not obtain the financing he wanted due to an "unanticipated" and "unforeseeable" downturn in the economy.

(1) What kind of clause (that is, the specific words) would you have put in the contract if you were the buyer and had taken this course to learn about contracts?

(2) Generally, when should you consider including in a contract a clause that gives you a ‘back door’ out, thereby excusing performance? In other words, knowing what you now know, which kind of contracts will you want to use a commercial impracticability-type clause?

Reference no: EM132219002

Questions Cloud

Focus on diversity and multiculturalism in your staffing : You wonder about the need to focus on diversity and multiculturalism in your staffing.

Identify the stage of new product development process : In the classic linear approach, identify the stage of the new product development process in which the company determines the markets it wants to enter.

Chronic conditions that can lead to hospital readmissions : What are some chronic conditions that can lead to hospital readmissions? What is the potential consequence to the facility related to multiple readmissions?

Describe tim hortons experiences with mergers-acquisitions : Describe Tim Hortons experiences with mergers/acquisitions. Did these combinations create or destroy value? Why?

When should you consider including in contract clause : Generally, when should you consider including in a contract a clause that gives you a ‘back door’ out, thereby excusing performance?

Community-based services programs : Globally, many countries are investing heavily in home and community-based services programs.

High score test on collaborating and accommodating : How can you handle conflict in your workplace or organization if you have a high score test on collaborating and accommodating?

Packaging serves useful function for tangible products : Immanual Kant’s categorical imperative theory. Packaging serves a useful function for tangible products by.

Why do accountants play such vital role in antitrust dispute : Why do accountants play such a vital role in antitrust disputes?

User Account

All Pages