Business Law V. Allan
Introduction
Plaintiff: Bill, Charles & Don
Defendant: Allan
Allan advertised his motorcar for sale at $50,000. Bill, Charles and Don came down for viewing. The entire three customers Bill, Charles and Don each have their own negotiating reasons with Allan. Allan did not response and remains silent. After that Eric was last person to come down for viewing the car. Liked and accepted Allan offers, immediately the car was sold to him. Having to hear that the car was already been sold, the plaintiffs wish to sue Defendant for breach of contract. This will depend on whether there is a valid contract formed in each respective case.
Rules/Principle
The law of contract: There must be a legally binding contract between two or more parties. On …show more content…
Understand that one action has the responsibility and consequences. Legal age at 18 years old.
Agreement: combination of both offer and acceptance. In order to create a binding contract both parties are needed to have mutual understanding/agreement.
Consideration: both parties between promisor and promise must each receive benefits and suffer. Contract based on exchange terms and conditions.
Intention to enter relations: are divided in 2, social domestic agreement & commercial agreement. Social and domestic agreement usually comes from family and friends. Whereas commercial agreement, are make by outside parties who intend to create legal relations, mostly agreement in writing.
On the facts, the argument appears to center on agreement, where there must be a valid offer and acceptance.
Offer: Is a communication between two or more parties agreeing to create legal binding contract.
Acceptance: receiving something that has been agreed by both …show more content…
Charles came to view the motorcar and told Allan that he would not pay more than $40,000. Hence counter-offer appeared after Charles makes a negotiation on the price of the motorcar. (Hyde v. Wrench) Making counter-offer and reject the original offer will need an acceptance from Allan. Counter-offer is when two parties agreed on the same terms and conditions of the contract. Since Allan did not response to Charles offer, the contract between them was automatically terminated. There is no positive acceptance. Therefore, there was no breach of contract to begin with since the offer was being terminated by the
Plaintiff: Bill, Charles & Don
Defendant: Allan
Allan advertised his motorcar for sale at $50,000. Bill, Charles and Don came down for viewing. The entire three customers Bill, Charles and Don each have their own negotiating reasons with Allan. Allan did not response and remains silent. After that Eric was last person to come down for viewing the car. Liked and accepted Allan offers, immediately the car was sold to him. Having to hear that the car was already been sold, the plaintiffs wish to sue Defendant for breach of contract. This will depend on whether there is a valid contract formed in each respective case.
Rules/Principle
The law of contract: There must be a legally binding contract between two or more parties. On …show more content…
Understand that one action has the responsibility and consequences. Legal age at 18 years old.
Agreement: combination of both offer and acceptance. In order to create a binding contract both parties are needed to have mutual understanding/agreement.
Consideration: both parties between promisor and promise must each receive benefits and suffer. Contract based on exchange terms and conditions.
Intention to enter relations: are divided in 2, social domestic agreement & commercial agreement. Social and domestic agreement usually comes from family and friends. Whereas commercial agreement, are make by outside parties who intend to create legal relations, mostly agreement in writing.
On the facts, the argument appears to center on agreement, where there must be a valid offer and acceptance.
Offer: Is a communication between two or more parties agreeing to create legal binding contract.
Acceptance: receiving something that has been agreed by both …show more content…
Charles came to view the motorcar and told Allan that he would not pay more than $40,000. Hence counter-offer appeared after Charles makes a negotiation on the price of the motorcar. (Hyde v. Wrench) Making counter-offer and reject the original offer will need an acceptance from Allan. Counter-offer is when two parties agreed on the same terms and conditions of the contract. Since Allan did not response to Charles offer, the contract between them was automatically terminated. There is no positive acceptance. Therefore, there was no breach of contract to begin with since the offer was being terminated by the