Question

Connwell was a partner in Piece of America (POA), a company that sold one-square-inch parcels of land in each of the 50 states. The company wanted to sell through a website and contacted Gray Loon Marketing to design and publish a site. Gray Loon gave POA a website design proposal and an estimate price of $8,080. The proposal stated, “It is Gray Loon’s philosophy that clients have purchased goods and services from us and that inherently means ownership of those goods and services as well.” POA agreed, the website was created, and POA paid in full. Several months later, POA asked for several changes, some of which required major programming work. Gray Loon agreed over the phone and began work. When the work was completed, POA said it no longer wanted the changes and did not pay the $5,224.50 bill. After several failed attempts to collect, Gray Loon took the website offline and sued for nonpayment. POA argued the contract was for services, and that under common law, because there was no agreement as to price for the modification, it is not liable. Should the common law be applied to this contract? Explain.

Answer 1

When the agreement have been entered into then risk and reward as well as ownership have also been transfered to buyer, and any reparing or modification required after such agreement such expense have to he bared by buyer except it is included under warranty etc...

Even though there is no agreement as to price for modification should be paid by buyer, but it have been implied as the service of modification have provided by saler and buyer has to pay for such modification,

So action taken by gray loon for sue Poa for nonpaymet is valid in law and argument of poa that contract of service under common law so no amount should be paid is not correct under law as common law can not be applied to this contract...