A Small Consulting Firm Entered into a Contract with an Office

question 56

Essay

A small consulting firm entered into a contract with an office machine retailer to purchase a photocopier for $3,000.The contract included a service agreement.The consultants inquired into dropping the service agreement,but because that would lower the price by only $250,they decided to pay the $3,000.After using the copier for several months,it began to need a few service calls.The copier generally worked well,and the problems were minor,but there were problems with the service.Many times it would take a couple of days for a technician to arrive and take care of the problem.More frustrating was the fact that many of the problems required only minor adjustments.Other times parts were not available.The consultants read the provisions of the agreement relating to the servicing and concluded that there had been numerous breaches.In a dispute over the service,what laws would apply and why?

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Definitions:

Antitrust Law

Laws designed to promote competition and prevent monopolies by regulating corporate practices that restrict trade.

Product Price

The amount of money charged for a product, determined by costs, market demand, and competition.

Natural Monopoly

A market condition where a single firm can supply the entire market at a lower cost than any combination of two or more firms due to economies of scale.

Social Regulation

Government-imposed regulations aimed at improving health, safety, and the welfare of the public, covering issues like pollution and workplace safety.