Tuesday, March 26, 2013

John Leonard v. Pepsico, Inc. case brief

John Leonard v. Pepsico, Inc. case brief summary
210 F.3d 88

Plaintiff consumer appealed an order of the United States District Court for the Southern District of New York, which granted defendant corporation's motion for summary judgment in the consumer's action that sought specific performance of an alleged offer of a fighter jet by the corporation.

OVERVIEW: Using television commercials, the corporation conducted a promotion in which it offered merchandise in exchange for "points" earned by purchasing its soft drink. For each item of merchandise sported by a teenager in the commercial, the ad noted the number of points needed to get it. When the teenager was shown in the jet, the ad prices it as 7 million points.

The consumer alleged that the ad was an offer, that he accepted the offer by tendering the equivalent of 7 million points, and that the corporation breached its contract to deliver the jet.

The district court granted the corporation's motion for summary judgment on the grounds (1) that the commercial did not amount to an offer of goods; (2) that no objective person could reasonably have concluded that the commercial actually offered consumers the jet; and (3) that the alleged contract could not satisfy the New York statute of frauds. On appeal, the court affirmed for substantially the reasons stated by the district court.

OUTCOME: The court affirmed the grant of the corporation's motion for summary judgment.

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