10 Jul Apply: Alternative Dispute Resolution (ADR), Ethics and Ris
Apply: Alternative Dispute Resolution (ADR), Ethics and RiskManagement Study Instructions:The purpose of this assignment is to analyze and select an appropriatemethod of alternative dispute resolution (ADR) for a business dispute,to examine unethical business behavior, and to develop riskmanagement procedures to avoid or reduce claims and litigation. Read the following scenario: Dazzling Dough Co. sells pizza dough to local pizza restaurants. Mostof the restaurants buy at least 150 pounds of pizza dough fromDazzling Dough Co. in each order. Jerry’s Pizza contacted DazzlingDough Co. to purchase 200 pounds of pizza dough, along with someother items. Dazzling Dough Co. sent Jerry’s Pizza a written contract,prepared by Dazzling Dough Co.’s lawyer, stating that ‘Jerry’s Pizzaagrees to purchase 200 pounds of pizza dough, pizza toppings,desserts and soft drinks for $30,000.’ Jerry’s Pizza signed and returnedthe contract. A few days later, Dazzling Dough Co. sent Jerry’s Pizza 125 pounds ofpizza dough and 75 pounds of pizza toppings, desserts, and soft drinks.Jerry’s Pizza contacted Dazzling Dough Co. about the error in thecontract and demanded an extra 75 pounds of pizza dough. DazzlingDough Co. said there was no error, that Jerry’s Pizza signed thecontract so they agreed to the terms, and it was not sending the extrapizza dough. After several attempts to resolve the dispute and a pressing need fordough, Jerry’s Pizza terminated the contract and sent Dazzling DoughCo. a check for $15,000 for the 125 pounds of pizza dough, pizzatoppings, desserts, and soft drinks. Jerry’s Pizza immediately purchased75 pounds of pizza dough from another company for $12,000. Bothparties are threatening to sue each other for breach of contract. Theyprefer to resolve the dispute out of court because the contract containsa clause that awards reimbursement of attorney’s fees to the winningparty. The Board of Directors of Jerry’s Pizza scheduled a meeting with youand other senior management at the company to discuss the dispute. You will need to prepare a strategic plan overview (an abbreviatedstrategic plan, not a full plan) for the Board of Directors that explains why there is adispute suggests various settlement proposals, and providesrecommendations on how Jerry’s Pizza can avoid this kind of dispute inthe future. A. Prepare a 525- 875-word strategic plan overview to resolve the legal dispute for the board. Use the bullet point headings provided below to format your overview. Be sure each bullet point is identified in your strategic plan overview. Summary of DisputeIdentify the source of the dispute.Identify each party’s interpretation of the contract language.Identify whether each party’s interpretation is reasonable.Identify any missing facts that would be helpful to know in order to resolve the dispute.Proposed Revisions to Contract LanguageRecommend specific revisions to the contract’s language so that it is clear what Jerry’s Pizza expected to buy and what Dazzling Dough Co. is required to deliver.Ethical ConsiderationsExplain the ethical considerations for a company to enforce specific terms of a contract against another company if the other company is mistaken about what was agreed to. Discuss the factors that should be considered.RecommendationsTwo to three possible settlement options (e.g., pay for the disputed dough, reduce the amount of dough to be purchased, split the difference, refuse to pay, etc.)Two to three methods of dispute resolution (e.g., negotiation, mediation, arbitration, litigation, etc.) that Jerry’s Pizza can propose to Dazzling Dough Co. B. Create a one-page visualization to represent the information you provide in this assignment. Use the Table, SmartArt, or Chart visual representation options available in Microsoft® Word by clicking on the Insert tab located on the ribbon at the top of the window. Locate the Word Help function in the version of Microsoft® Word that is installed on your computer for assistance. C. Cite a minimum of two references preferably peer-reviewed. Do not cite to dictionaries, encyclopedias, or Wiki resources. Refer to Instructor Policies. D. Click the Assignment Files tab to submit your assignment that includes two parts:
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