Legal Authority

Legal Authority
Guidelines:
Please use the
information presented in the course reading assignments to answer the questions and do not rely on outside sources. I will attached the lessons.

Your document should be in essay format, error-free, graduate level composition (i.e. APA format should be followed, including cover sheet, abstract, citations and references). Please be sure to answer each question and cite the legal authority you are relying on to support your
answer. Your document should be between 3-5 pages total not including reference and cover page.

PROBLEM:
Baltimore Electronics, a Maryland corporation with offices in Towson, Maryland, ordered by mail 5,000 microprocessors from American Micro, a California company. Baltimore Electronics’ purchase order provided that any dispute would be resolved by arbitration conducted by the
American Arbitration Association in Baltimore, Maryland. American Micro executed and delivered by facsimile transmission to Baltimore Electronics its form which confirmed receipt of Baltimore Electronics’ order and contained the following provision: “The seller’s acceptance of
any purchase order is subject to the terms and conditions herein.” The American Micro form also stated: “This transaction shall be governed by the law of the State of California. Any
disputes shall be resolved by a judicial action in the State of California.” Ten days after faxing the confirmation form American Micro shipped the parts, which were received and accepted by
Baltimore Electronics. A dispute has now arisen concerning the workmanship in the manufacture of the microprocessors. The microprocessors are defective. The defect constitutes a breach of
warranty. Baltimore Electronics made a timely demand for arbitration in Baltimore, Maryland.

Please answer the following questions based solely on the facts presented above.