Nigel Is the Owner of a Small Drapery Manufacturing Business

Multiple Choice

Nigel is the owner of a small drapery manufacturing business. He has several contracts with three fabric suppliers. Nigel believes the only obligations he owes to his suppliers are recited in the contracts. Under what circumstances would Nigel know immediately that his assumption was wrong?

A) a situation whereby a supplier's misconduct adversely affects his business interests
B) a situation that enables one party to eliminate the application of the Sale of Goods Act
C) a situation where an entire contract clause forestalls suppliers' arguments relating to his guarantee
D) a situation where a price-variation clause doesn't allow a supplier to offset increased costs