This site is a developmental version of Wiki Law School. To go to the production site: www.wikilawschool.org
Cloud Corp. v. Hasbro: Difference between revisions
From wikilawschool.net. Wiki Law School does not provide legal advice. For educational purposes only.
Lost Student (talk | contribs) m (Text replacement - "|case_text_source=Quimbee video summary" to "|source_type=Video summary |case_text_source=Quimbee") |
Lost Student (talk | contribs) m (Text replacement - "|case_treatment=No " to "") |
||
| Line 3: | Line 3: | ||
|date=2002-12-26 | |date=2002-12-26 | ||
|subject=Contracts | |subject=Contracts | ||
|facts=Cloud Corporation ("Cloud") & [https://corporate.hasbro.com/en-us Hasbro Incorporated] engage in casual communications in the form of e-mail. | |facts=Cloud Corporation ("Cloud") & [https://corporate.hasbro.com/en-us Hasbro Incorporated] engage in casual communications in the form of e-mail. | ||
Latest revision as of 03:42, July 14, 2023
| Cloud Corp. v. Hasbro | |
| Court | United States Court of Appeals for the Seventh Circuit |
|---|---|
| Citation | |
| Date decided | 2002-12-26 |
Facts
Cloud Corporation ("Cloud") & Hasbro Incorporated engage in casual communications in the form of e-mail.
Hasbro, a toymaker, engaged with "Cloud" to produce powder packets for aquariums.
Hasbro would transmit purchase orders to Cloud via e-mail; Cloud would reply to confirm the order.
Over time, the popularity of the toy aquariums waned; Hasbro sent Cloud an 8.4 million order packet.
After several intermediate occurrences, Hasbro refused to accept a Cloud delivery for 9.5 million powder packets.Procedural History
Cloud sued for breach of contract; Hasbro wins in the trial court.
Cloud appealed to the 7th Circuit.Issues
Can informal e-mails create a contract modification that satisfies UCC's statute of frauds?
Holding
Yes. A modification to a contract via e-mail bearing the sender's name can satisfy the UCC's statute of frauds.
Rule
The Uniform Commercial Code (UCC)'s statute of frauds requires sales of goods over $500 (last figure based on inflation) to be signed.
