In Griffith V

question 89

Multiple Choice

In Griffith v. Clear Lakes Trout, Griffith grew trout for Clear Lakes; the parties got into a dispute over what were "market size" trout, as Clear Lakes wanted larger fish. The court held that:

• A) since both parties had agreed for 3 years that "market size" was 12 to 16 ounces, Clear Lakes was liable for breach of contract when it tried to change the definition of "market size"
• B) since there was no written definition of "market size," Clear Lakes was not liable for breach of contract
• C) since there was a written contract specifying "market size" as 12 to 16 ounces, Clear Lakes was liable for breach of contract
• D) Griffith did not have a case because there was never a contract between the parties
• E) the parties' previous dealings were insufficient to show agreement

---

Definitions:

Price Setting

The process by which a company decides on the selling price of its products or services.

Identical Products

Goods that are exactly the same in every feature and aspect, making them perfect substitutes for one another.

Economic Profits

Total revenues minus total costs, where total costs include both explicit and implicit costs.

Competitive Market

A market structure characterized by a large number of buyers and sellers, free entry and exit, and products that are similar enough to be interchangeable.