06 Jun Unit 6 discussion_LS311: Defenses to Breach of Contract
13487Last year, iHiker signed a contract with the United States Olympic Committee and USA Climbing, the national governing body of the sport of competition climbing in the United States, to sponsor the USA Climbing team in the upcoming Olympics. The marketing team hoped that sponsoring climbing at the Olympics would be good publicity to promote iHiker software. Unfortunately, the venue for the Olympic Games had to be moved to a country that is now known for multiple human rights violations, including treatment of women and certain ethnic groups. There is now a lot of bad publicity with the upcoming Olympics. There have been articles appearing in newspapers and magazines demanding that corporate sponsors pull out from the upcoming Olympics. Some members of Congress have called for sponsors to withdraw sponsorship of the Olympics. Discuss whether iHiker can withdraw sponsorship from the Olympics without violating its existing contract with the United States Olympic Committee and USA Climbing. What defenses could iHiker assert in a breach of contract case? What are the consequences if iHiker decides not to withdraw its sponsorship? What recommendation would you give?
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