This is the third written assignment in BL 240. Before you begin the assignment, review that portion of the course syllabus (see class webpage) dealing with “Written Assignments” to ensure that you understand the format (cover page plus no more than two type-written double spaced pages, content of the cover page, Code of Honor statement, etc.). You will be graded both on your response to the assignment and on having followed the directions (format). Remember that verbiage will not be rewarded but the thoughtfulness and thoroughness of your response will be. The object is for you to show me that you understand the material in Unit 3 and can apply it to a specific fact set.
Written Assignment #3: Kyle took your advice and decided not to spend the money to fight for his claim to “KFC.com” as the domain name for his new product line, Kyle’s Fantastic Condiments. Kyle, however, does want to continue the move of his business, Alabama Sunshine, to the next level of operations. His produce marketing efforts in Nauvoo and surrounding areas in Alabama and into Mississippi and Tennessee have proven to be very successful. He now wants to expand to other choice locations in areas that he likes to visit, namely the beach and resort areas along the Gulf Coast of Alabama around the Mobile Bay area of Alabama. Kyle has found a possible location to construct a new store on Dauphin Island, AL. The property is owned by Scott. Since Kyle’s business is successful and people throughout Alabama and abutting States know of Kyle and of Alabama Sunshine, Kyle hires Alexa to contact Scott, negotiate a price, and, if possible, buy Scott’s property. Concerned that, if Scott knows that he (Kyle) wants the location, the price will increase, Kyle instructs Alexa to not tell Scott that she is working for Kyle. During negotiations with Scott, Alexa realizes that Scott’s property is a good deal, an exceptionally good deal, and buys the property for herself, not Kyle as agreed. Kyle is angry, very angry, and wants to know what he can do.
Respecting your knowledge of business law, Kyle comes to you. What are the issues that you will need to address and what is the controlling law for each issue? During the conversation, Kyle mentions that Alabama Sunshine is operated as an informal partnership between himself and his cousin, Jerry, who has pretty much retired from management of the business. He asks you about the advantages and disadvantages of a partnership and the other small business organizations and whether he should change the business to some other business structure. If so, which one would be the most advantageous? In passing he notes that the temporary worker, Carla, he refused to hire back during the peak season (remember WA1) has now filed an employment discrimination (gender and national origin) charge against him personally and against Alabama Sunshine and Kyle wonders what the procedure is for such charges and what he must do.
To help you organize your thoughts, I suggest that you read the fact set; decide which facts are relevant and which are merely verbiage; based on the information in Unit 3; decide which legal information is relevant to the facts; then state the legal issue (relevant facts), state the general rule of law that applies, apply the law to the facts and then go to the next legal issue.