Klint Microsystems, a Microprocessor Manufacturer, Was Contracted by Zeitar Studios

question 4

Multiple Choice

Klint Microsystems, a microprocessor manufacturer, was contracted by Zeitar Studios to manufacture specially designed microchips to be used in an audio engineering process. Zeitar was to pay Klint $300,000 as per the contract. Klint decided to redesign their existing microchips and make them suitable for Zeitar. While the finished microchips were being shipped via a carrier, Klint was informed of Zeitar's insolvency. Klint cancelled the shipment before it was delivered. Klint then resold the chips to another Studio where they had to settle for $150,000, as the chips were now only suitable for specific audio engineering processes.
What right to remedy did Klint exercise when they stopped shipment to Zeitar?

• A) right to dispose of goods
• B) right to stop goods in transit
• C) right to obtain specific performance
• D) right to recover purchase rent

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Definitions:

Conditions

The circumstances or factors affecting the way in which people live or work, especially with regard to their safety or well-being.

Bounded Ethicality

The concept that cognitive biases and organizational contexts limit individuals’ ability to make ethically ideal decisions.

Ethical Blind Spots

The tendency to overlook or underestimate the ethical dimensions of one’s actions or decisions, often due to cognitive biases.

Ethical

Pertaining to or dealing with morals or the principles of morality; adhering to accepted standards of conduct.