Mel had an oral contract with Tool and Dye Company. Tool and Dye was to design and specially manufacture a part for one of Mel's machines. The agreed upon price was $2,000. When the part was completed, Mel refused to take delivery or pay for the part. Tool and Dye has no other customers for a unique part like this. Tool and Dye filed suit against Mel for breach of contract. Mel claims that the contract is unenforceable under the Statue of Frauds and that he has no liability. Which party will win this dispute?

a. Mel wins because the sale is under the Code.
b. Mel wins because the parole evidence rule does not allow evidence of oral contracts to be admitted into court.
c. Tool and Dye wins because specially manufactured goods are an exception to the Code's writing requirement.
d. Tool and Dye wins because Mel's order is fraudulent misrepresentation under the common law.

Ans: c. Tool and Dye wins because specially manufactured goods are an exception to the Code's writing requirement.

Business

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