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What is Arco Pulp vs. Lim: Alternative Obligation Case about?

Dan Lim delivered scrap paper to Arco Pulp and Paper Company and was owed payment. Per their agreement, Arco could either pay Lim the value of the materials or deliver finished products of equal value. Arco issued Lim a check that bounced and also signed an agreement to deliver products to a third party instead of Lim. Lim filed a collection case. The appellate court ruled the obligation was an alternative one, where Arco had the choice to either pay or deliver products, and by issuing the check, they had e

Author

Maria Isabella Miralles

Language

EN