Description

Case Assignment # 5

A Financial Advisor scheduled a trip to Arkadelphia to hold six meetings, each to obtain long-term work with a different potential client. All the meetings were scheduled for the same day. Three were scheduled for the morning (before noon), and three for the afternoon. As the meetings were to take place in various locations throughout downtown Arkadelphia, Financial Advisor would need transportation for the day. Financial Advisor had never previously visited Arkadelphia, so he did not want to rely upon public transportation or try to drive himself around in unfamiliar locations. After some Internet research, he found the website of Arkadelphia Drivers (arkadelphiadrivers.net). 

The website offered the services of several drivers, who could be hired by the hour or by the day. Each driver’s profile on the website listed that driver’s name, age, hourly and daily rates, and the make and model of the driver’s vehicle. Financial Advisor selected Driver’s profile. After verifying that Driver would be available on the day of Financial Advisor’s meetings, Financial Advisor completed the online order form to hire her.

Later that day, Driver emailed Financial Advisor to confirm his reservation. Driver attached a photo of her car to the email, so that Financial Advisor would recognize it when she picked him up. After viewing the photo, Financial Advisor emailed Driver the following:

Thank you for confirming my reservation for next week. However, I am worried by the photo of your car you attached. I am planning to bring some of my photography equipment to my meetings that day, and it doesn’t look like the larger equipment will fit in your car. I would prefer an SUV, to be sure that all of my equipment will easily fit in the vehicle.

Driver did not respond to Financial Advisor’s email. On the day of Financial Advisor’s reservation, Driver did not pick him up at the scheduled time. The hotel’s concierge, who knew about Financial Advisor’s meeting schedule, immediately offered to arrange substitute transportation that would get Financial Advisor to all his meetings on time. Financial Advisor declined the concierge’s offer, and insisted on waiting for Driver and using Arkadelphia Drivers. After waiting for half an hour outside his hotel, Financial Advisor went back up to his hotel room and emailed Driver:

Where are you? I have already missed my first meeting this morning, and I have five more scheduled throughout the day—including two more before noon.

Driver did not respond until noon:

Sorry, but I thought you canceled the reservation with me so that you could reserve an SUV! I have already accepted another client for today, but I will have my supervisor at Arkadelphia Drivers call you right now and see whether there is another driver who can get you to your afternoon appointments.

Shortly after, the supervisor called Financial Advisor, who was still in his hotel room, and arranged to send an alternative chauffeur to take him to his afternoon meetings. Financial Advisor attended all three, signing contracts with two of the three clients. Financial Advisor later complained to Arkadelphia Drivers that he would have made $15,000 profit on each morning appointment, had he signed a contract with each potential client. Financial Advisor then sued Arkadelphia Drivers for breach of contract, seeking only $45,000 in damages arising from the missed morning meetings. Assume a valid contract between Arkadelphia Drivers and Financial Advisor.