13 May SHOULD JOLLY’S SUIT BE DISMISSED?
Jolly Canning Co. Case Study
Answer the question as if you are counsel for Jolly Canning
Co in 200 to 300 words
The Jolly Canning Co. in Hawaii agreed to sell 10,000 cases
of canned green beans to the Merry Produce Co. in New York. The terms were FOB
Bigport in Hawaii. The parties agreed that the governing rules were Incoterms
1990. Jolly, by mistake, delivered 10,000 cases of canned corn to the carrier
in Bigport. Moreover, the bill of lading clearly stated that goods were canned
corn. While the goods were in transit, they were damaged by seawater because of
the carrier’s negligence. Jolly sues the carrier, but the carrier challenges
Jolly’s standing (right) to sue. The carrier claims that the risk of loss had
passed to Merry Produce (the consignee on the bill of lading) as soon as the
goods had passed the ship’s rail. Is the carrier correct? Should Jolly’s suit
be dismissed? Explain why or why not.Jolly Canning Co. Case StudyAnswer the question as if you are counsel for Jolly Canning
Co in 200 to 300 wordsThe Jolly Canning Co. in Hawaii agreed to sell 10,000 cases
of canned green beans to the Merry Produce Co. in New York. The terms were FOB
Bigport in Hawaii. The parties agreed that the governing rules were Incoterms
1990. Jolly, by mistake, delivered 10,000 cases of canned corn to the carrier
in Bigport. Moreover, the bill of lading clearly stated that goods were canned
corn. While the goods were in transit, they were damaged by seawater because of
the carrier’s negligence. Jolly sues the carrier, but the carrier challenges
Jolly’s standing (right) to sue. The carrier claims that the risk of loss had
passed to Merry Produce (the consignee on the bill of lading) as soon as the
goods had passed the ship’s rail. Is the carrier correct? Should Jolly’s suit
be dismissed? Explain why or why not.
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