1a: Discussion Forum
Aspen Treatise Series Business Organizations
Author : Ramseyer, J. Mark Publisher : Wolters Kluwer, 2017, second edition.
ISBN : ISBN: 978-1-4548-7662-5
Submit an original post Week 1. The initial discussion post (word count = 150-200)
Description
One of the “not so simple” cases discussed in your reading is Gay Jenson Farms Co. v. Cargill, Inc. (pp. 6-7). You will recall that the court in this case assessed liability against Cargill by ignoring the requirement that an agent act on the principal’s behalf. The court decision cited nine factors indicating that Cargill “controlled” Warren Grain and Seed. These nine factors were:
Cargill’s constant recommendations to Warren by telephone.
Cargill’s right of first refusal on grain.
Warren’s inability to enter into mortgages, to purchase stock, or to pay dividends without Cargill’s approval.
Cargill’s right of entry onto Warren’s premises to do periodic checks and audits.
Cargill’s correspondence and criticism regarding Warren’s finances, officers’ salaries, and inventory.
Cargill’s determination that Warren needed “strong paternal guidance.”
Provision of forms to Warren upon which Cargill’s name was imprinted.
Financing of all Warren’s purchases of grain and operating expenses.
Cargill’s power to discontinue the financing of Warren’s operations.
Discussion Forum Prompt:
Assume that you hold the position of Vice President for Business Operations at Cargill. The Chief Executive Officer of Cargill, after hearing about the decision in the case involving Warren Grain & Seed Co., asks for your recommendations about how Cargill should, if at all, change the way it does business to avoid liability in the future.
Your task is to discuss (i) whether any of the nine listed factors should be revised or eliminated, and/or (ii) whether, at the time a supplier like Warren becomes financially desperate, Cargill should (a) force the supplier into bankruptcy, or (b) notify all potential creditors that Cargill will not be liable for any purchases by the supplier. Your discussion should offer your business, as well as legal, judgment.
Discussion Forum Expectations
In order to receive the most benefit from your class, it is important that you have a strong, engaging, and interactive presence within your class through the Discussion Forum. The Discussion Forum environment will be a place of robust academic interchange among you, your classmates, your instructor, as well as outside resources that are relevant to the weekly subject matter.
An important part of this conversation is wrestling with the issues. This will be a time where you begin to crystallize what you believe about a subject and why, as well as why you disagree with an opposing perspective. This naturally means that it is not enough to simply agree or disagree with a particular argument. Rather, it is your responsibility to provide compelling evidence and support for why you have reached your conclusions. Higher-critical thinking is at the heart of a quality liberal arts education, the value of which will benefit you long after graduation.
The Discussion Forum is not meant to be a dry, sterile environment. Be creative! Did you see a video clip that would enhance the level of discussion engagement? Add it to the forum! Did you read an interesting article on Facebook or Twitter that would get others thinking, or re-thinking the subject? By all means, share it on the forum. Playing devil’s advocate is also in-bounds. Addressing a classmate from an opposing viewpoint (not necessarily your own) to promote heightened interaction on a subject can further higher-level thought and a more robust discussion thread.
As the Discussion Forum is an academic assignment, be sure that you write in formal academic English, using full sentences and correct grammar and punctuation. We recommend that you draft your comments using word processing software and then paste them into the forum after you complete spelling and grammar checks.
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Aspen Treatise Series Business Organizations
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