Ls311 Unit 4
Kaplan University
LS311
Lori Kieffer-Garrison
Unit 4 Case Study
Kayla Fulrath
November 19th, 2012
In this case study, we are looking into what constitutes a contract and when a person is obligated to honor a contract. In this scenario Carrie offered to sell a set of legal encyclopedias to Antonio for $300.00. Antonio said that he would think about her offer and let her know his decision the next day. Norvel, who had overheard the conversation between Carrie and Antonio, said to Carrie, "I accept your offer," and Carrie gave Norvel the books. The next day, Antonio, who had no idea that Carrie had already sold the books to Norvel, told Carrie that he accepted her offer. We need to determine whether or not Carrie is obligated to sell her encyclopedias to Norvel and whether or not she is breaching a contract with Antonio.
The answer is yes, Carrie is obligated to sell her encyclopedia set to Norvel, and no, she did not breach a contract with Antonio.
For a contract to be considered a contract there are certain basic elements that must be present. First there must be an agreement to form a contract which consists of an offer and an acceptance of that offer. Second, there must be consideration, which consists of a valuable exchange to support the acceptance of an offer. Third, a contract must of contractual capacity, meaning the parties involved must be competent. Lastly, the contract must be legal (Miller and Jentz, 2008). I’m going to assume that all parties are of sound mind and that Carrie is not illegally selling her set of encyclopedias because I don’t have evidence to the contrary.
In the situation with Norvel, I would say a valid contract is established. Carrie has offered a set of encyclopedias for sale. Her first buyer, Antonio, does not initially accept her offer. Norvel pops up and states that he would accept her offer. So now an agreement is formed, which is part of the elements of a contract being a contract. Consideration is also established
LS311
Lori Kieffer-Garrison
Unit 4 Case Study
Kayla Fulrath
November 19th, 2012
In this case study, we are looking into what constitutes a contract and when a person is obligated to honor a contract. In this scenario Carrie offered to sell a set of legal encyclopedias to Antonio for $300.00. Antonio said that he would think about her offer and let her know his decision the next day. Norvel, who had overheard the conversation between Carrie and Antonio, said to Carrie, "I accept your offer," and Carrie gave Norvel the books. The next day, Antonio, who had no idea that Carrie had already sold the books to Norvel, told Carrie that he accepted her offer. We need to determine whether or not Carrie is obligated to sell her encyclopedias to Norvel and whether or not she is breaching a contract with Antonio.
The answer is yes, Carrie is obligated to sell her encyclopedia set to Norvel, and no, she did not breach a contract with Antonio.
For a contract to be considered a contract there are certain basic elements that must be present. First there must be an agreement to form a contract which consists of an offer and an acceptance of that offer. Second, there must be consideration, which consists of a valuable exchange to support the acceptance of an offer. Third, a contract must of contractual capacity, meaning the parties involved must be competent. Lastly, the contract must be legal (Miller and Jentz, 2008). I’m going to assume that all parties are of sound mind and that Carrie is not illegally selling her set of encyclopedias because I don’t have evidence to the contrary.
In the situation with Norvel, I would say a valid contract is established. Carrie has offered a set of encyclopedias for sale. Her first buyer, Antonio, does not initially accept her offer. Norvel pops up and states that he would accept her offer. So now an agreement is formed, which is part of the elements of a contract being a contract. Consideration is also established
References: Miller, L. Roger., & Jentz, A. Gaylord (2008). Fundamentals of Business Law. Cengage Learning: Ohio.