A pizza store has a 5 store chain of pizza restaurants. It purchased self service soda dispensers for all its stores from a company called Carbo. As part of the contract, Carbo agreed to maintain and repair the soda machines for 3 years. 6 months later, the maintenance guy at Carbo retired. Instead of hiring a new employee, Carbo entered a new contract with a company called Bubbles, transferring its obligation to maintain and repair the machines to Bubbles. After several machines were unusable for long periods, the pizza shop sued Carbo for breach of its contract to repair the machines. Carbo denied any responsibility and said that it delegated the duty to Bubbles which now had the obligation to perform. Who should win this lawsuit?
2007-12-16 09:58:57 · 12 answers · asked by Anonymous in Politics & Government ➔ Law & Ethics
The pizza store should win. Carbo entered into a contract with the store, Bubbles did not. Therefore, Carbo is ultimately responsible, not Bubbles.
2007-12-16 10:11:46 · answer #1 · answered by _I_love_warm_bananas_ 4 · 0⤊ 0⤋
The Pizza store wins.
1. The contract was for Carbo to provide working machines, which it didn't. That's a breach of contract and warranty.
2. The contract stated that Carbo "agreed to maintain and repair the soda machines for 3 years." It doesn't matter that they contracted the service out. They still have to make sure the machines work properly even if that now means supervising Bubbles' work.
Just because Bubbles breached its contract with Carbo doesn't mean the Pizza place must let Carbo off the hook. Carbo's beef is with Bubbles, which it can sue later to recoup the money it ends up owing the Pizza place.
2007-12-16 10:15:17 · answer #2 · answered by artsy_lovely_lady 5 · 0⤊ 0⤋
When Carbo entered into a new contract to transfer the responsibility to maintain the soda dispensers, it should have notified the Pizza Restaurant Owner that Bubbles is now responsible for the duties of maintaining the dispensers. If Carbo did not notify the restaurant owner, then Carbo should bring a third party lawsuit making Bubbles as the third defendant. When Carbo produce the service contract with Bubbles, then Bubbles will eventually become the big loser and the original plaintiff will be the big winner.
2007-12-16 10:10:25 · answer #3 · answered by nixdad96 5 · 0⤊ 0⤋
Pizza store based on the fact that once Carbo entered into a new contract with Bubbles, the Pizza shops should have been notified of the new contract between the two with the option of entering into a new contract itself wth Bubbles to cover the machines. Carbo should have covered its own a.s here with the Pizza shops
2007-12-16 10:07:32 · answer #4 · answered by Arthur W 7 · 0⤊ 1⤋
In my opinion Carbo should pay for the income lost when the machines were not working and that it should be accountable for future repairs. That's what the contract was for. Then, if they choose, Carbo can try to sue Bubbles to recoup their losses. However, the original contract was between the Pizza stores and Carbo and Carbo should be accountable. The contract between Carbo and Bubbles is between them.
2007-12-16 10:03:31 · answer #5 · answered by Rebeckah 6 · 1⤊ 0⤋
Decision for the pizza store.
Carbo was in default of the contract.
The fact that they delegated the work to Bubbles is irrelevant - Carbo is still the party to the contract with the pizza store and cannot unilaterally disavow itself of liability.
Carbo may choose to sue Bubbles later to recoup losses, but Carbo is liable to the pizza store, Bubbles is liable only to Carbo.
2007-12-16 10:09:21 · answer #6 · answered by Adam 6 · 0⤊ 0⤋
The pizza store, the contract with Carbo was still in effect even if they did sub-contract the work to Bubbles.
2007-12-16 10:02:32 · answer #7 · answered by rjstango1976 2 · 2⤊ 0⤋
The pizza store should win. Carbo can subcontract the work if they choose, but they are responsible for the quality of work provided by the subcontractor because under the contract with the pizza store it's their responsibility.
2007-12-16 10:06:39 · answer #8 · answered by Anonymous · 1⤊ 0⤋
I say the pizza shop....it isn't their problem that Carbo delegated the power away...if Bubbles isn't performing their obligations, then I guess Carbo has to sue them.
2007-12-16 10:03:14 · answer #9 · answered by beaners1229 5 · 2⤊ 0⤋
pizza dude,unless they were informed that bubbles was going to maintain the equipment and agreed to it.but if in the fine print that the pizza guy signed it said that carb at any time could sub contract the maintainance to another company like bubbles and at that point bubbles was respons for maintaining the equip then no.
2007-12-16 10:05:49 · answer #10 · answered by mr. y 5 · 0⤊ 1⤋