law of contract-consideration, intention, privity?

Question by vida: law of contract-consideration, intention, privity?
BNG is the distributor of BLB’s CD. Sour Records, a sub distributor, takes consignment of the CDs from BLB. There is a term in the agreement that Sour Records wont sell the CD for less than $ 19.90 and that anyone buying the CDs from Sour Records must maintain this price. Woodlands Music store took 50 CDs from Sour Records. The contract between Woodlands Music store and Sour Records also has a term to say that Woodlands Music store willnot sell the CD for less than $ 19.90.

Sales of the CD are very bad. In order to clear their stocks, Woodlands Music store reduces the price if the CD to $ 19.90. When BNG discovers this, they threaten to sue Woodlands Music store.

Advise Woodlands Music store.
sorry. my error. woodlands intended to reduce price to 14.90.

Best answer:

Answer by Mr Blobby
If you have got it right, Woodlands has acted entirely within the terms of the contract ie. they have not sold it for less than $ 19.90 but for exactly that.
There are probably many considerations other than legal here though. You have a music distributor and a music store.
Legally Woodlands can’t lose.

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