The Legal Environment of Business: Text and Cases (MindTap Course List)
The Legal Environment of Business: Text and Cases (MindTap Course List)
10th Edition
ISBN: 9781305967304
Author: Frank B. Cross, Roger LeRoy Miller
Publisher: Cengage Learning
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Chapter 14, Problem 1BS
Summary Introduction

Case summary: Person P, emailed person W on 1st may, informing that he has a convertible car in perfect condition and will sell it before 9th June. Since, P got no response from W, he sold the car to someone else. W accepted the offer on 29th may and sued P for breach of contract.

To find: The breach of contract in the given case.

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1. John has a lending company. In his letter mailed on September 15, he offered to sell his business to Peter for $20,000.00. The letter was received by Peter on September 20. On September 25, Peter sent his letter of acceptance in which John received on September 28. However, on September 23, John had decided to withdraw and mailed a letter to Peter revoking it. The letter was not received until September 29. Did the contract form? When? Please state your reasons   2.  A father made a will leaving everything to his infant son. In his will and testament, he appointed John as his executor, in the event of his death. As executor, John is responsible to administer his estate on behalf of his son. Prior to the death of the father, he bought a piece of land using a mortgage and began building a cottage on this land. Prior to its completion, he died. Upon his death, John then acts as the son’s guardian and administrator of the estate on his behalf. John was not paid for this service. As a…
On April 1, Orizon LLC sent Jim Stevens a letter via overnight delivery, offering to employ him to audit Orizon, LLC’s financial statements for the current year for $10,000.  In the letter, Orizon, LLC stated that Jim had ten days to accept.  On April 5, Jim sent Orizon, LLC a fax that stated, "The price for the audit seems too low. Would you consider paying $12,000?" Orizon, LLC received the fax.   The next day, Serena Williams heard about the offer to Jim and said to Orizon, LLC, “I will accept that offer!”  On learning of Serena’s statement, Jim immediately e-mailed Orizon, LLC agreeing to do the work for $10,000. Orizon, LLC received this e-mail on April 7.  1.     Explain in detail why Orizon, LLC and Jim do, or do not, have a contract.   2.     If you did not discuss it already, would applying the mailbox rule change your answer in #1? 3.     Can Serena accept this offer?
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