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American Contract Law for a Global Age, 2017a

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Review Question 3. Note how Judge Wood distinguishes Lucy v. Zehmer and<br />

Carbolic Smoke Ball. Do you find her analysis persuasive, or should the court have<br />

found the Pepsi commercial to be an offer that Leonard accepted? Why?<br />

______________________<br />

FAIRMOUNT GLASS WORKS v.<br />

CRUNDEN-MARTIN WOODEN WARE CO.<br />

Court of Appeals of Kentucky<br />

106 Ky. 659, 51 S.W. 196 (1899)<br />

HOBSON, J.<br />

On April 20, 1895, appellee [Crunden-Martin] wrote appellant [Fairmount] the<br />

following letter:<br />

St. Louis, Mo., April 20, 1895.<br />

Gentlemen:<br />

Please advise us the lowest price you can make us on our<br />

order <strong>for</strong> ten car loads of Mason green jars, complete,<br />

with caps, packed one dozen in case, either delivered<br />

here, or f.o.b. cars your place, as you prefer. State<br />

terms and cash discount.<br />

Very truly,<br />

Crunden-Martin W. W. Co.<br />

To this letter appellant answered as follows:<br />

Fairmount, Ind., April 23, 1895.<br />

Crunden-Martin Wooden Ware Co.,<br />

St. Louis, Mo.<br />

Gentlemen:<br />

Replying to your favor of April 20th, we quote you Mason<br />

fruit jars, complete, in one-dozen boxes, delivered in<br />

East St. Louis, Ill.: Pints, $4.50; quarts, $5.00; half<br />

gallons, $6.50 per gross, <strong>for</strong> immediate acceptance, and<br />

shipment not later than May 15, 1895; sixty days’<br />

acceptance, or 2 off, cash in ten days.<br />

Yours truly,<br />

Fairmount Glass Works.<br />

______________________________________________________________________________<br />

66 CHAPTER II: CONTRACT FORMATION

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