Contract Law - Conditions Part 2 of 2 from the movie Gung Ho

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Uploaded by on May 16, 2009

This clip from the movie "Gung Ho" illustrates the condition principle in contract law (See part 1 first). This second clip shows what might happen when "strict compliance" enters a gray area.

A condition is an event (not certain to occur) which must occur, unless its non-occurrence is excused, before a contract becomes due. In other words, if a condition doesn't occur, then the other party is under no obligation to perform in return. The promisor must perform fully in order to fulfill a condition.

Some other concepts to think about in this clip: What's the difference between a condition and a promise (or reference term)? Was the condition of making 15,000 cars fulfilled? If not, was it waived? Was the condition excused by modifying it? In what way? What would a court say if you were to argue for excuse of non-occurrence to avoid "disproportionate forefeiture"? Was there an implied promise that the cars would be of high quality, or just the condition of turning out 15,000 cars without any implied promise of quality? (hint: look at 1:30)

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Uploader Comments (barronoda)

  • isn't it implied that the cars have to be of merchantable quality

  • @rinaldiputra Yes, most definitely! Watch the clip starting at 1:30 til where he says, "don't count this one." Also watch Part I to get an idea what's happening in Part 2. Also consider how Mr. Sakamoto waived the implied warranty.

Top Comments

  • Oddly very funny and touching at the same time when he says "I like you....you make me laugh." Great flick.

  • I like you....You make me laff.

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All Comments (15)

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  • I think it was pretty much assumed the cars had to be fully working. Actually the better example in my opinion of a gray area is when Mr. Sakamoto says that any little defect makes the whole car not count. The workers aren't trying to exploit the fact that the rules weren't set in stone, they're just hoping nobody notices the cars aren't finished.

  • Fiat Regatta, Fiat Spazio, Fiat 128 Super Europa in the same plant... Only in Argentina!

  • The American Worker: substandard at best. Its a good thing we have heart!

  • ★Gun Ho is a minor movie but eligible to be named the top 100 movies of all time in the world.

    ★This is such a splendid piece of work and maybe the best movie of Michael Keaton.

    ★At that time in Europe and America, the prejudice to Japan had been still filled. So, in this movie, portrait of the Japanese are very strange and very different from the real Japanese.

    ★But,recently, many people in the world respect and adore Japan and Japanese cultures.

    This is really ironical.

  • One of my childhood favorites. Glad I was learning contract law at a young age lol

  • @TWheels94 Me and my brothers have quoted that line an infinite amount of times since the 80's. "You make me wraff" lol

  • Funny stuff... especially considering the current state of US car manufacture - only in hollywood!

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