LEARNING ACTIVITY 1
(1.) The common law of contracts would be applicable in this case (Clarkson et al., 2012). First, for all of its history the common law of contracts has always applied to real estate transactions. This case, which involves the selling of a house, is a real estate transaction. The Uniform Commercial Code (UCC) is a newer form of contract law that mainly focuses on the sales of goods or tangible property. It was established in response to increasing commercial actions (Blum, 2013).
(2.) A court would likely find that no contract existed. The fundamental elements of any contract is that an offer is made and its acceptance is transmitted. While Myra did make an offer, Nic did not accept it. First, his response of U.S. $380,000 is not an acceptance but a counter-offer. A counter-offer always eliminates the original and becomes a new offer in its place. Myra in turn does not accept Nic’s counter-offer but rather makes a counter-offer of her own. While Nic might have accepted Myra’s new offer, she called of the deal before he was able to tranmit his acceptance. If Odell had mailed the form (postmarked before 10:00 am, Nic could prove that he acceptance pre-dated Myra’s calling off of the deal. However, the form was mailed after Nic was informed that the deal was off, so no contract existed.
(1.) The is no contract between Ed and Fran. There was no offer and acceptance made, and there was no consideration exchanged between them. Moreover, Ed is not a seller, so there are no elements that would otherwise form a contract under the UCC.
(2.) Despite there being no contract, a court might view the taking of the candy bar as a quasi-contract (Sullivan, 1975). One based on his past actions and Fran’s none spoken or written assent. Under a quasi-contract, Fran would be able to demand payment from Ed for the candy bar or sue him for damages for breach of the contract, namely his failure to pay.
LEARNING ACTIVITY 2
(1.) A unilateral contract refers to a legally enforceable agreement where the offer expressly requires performance of its terms as the only possible method of acceptance. An illustrative example of a unilateral contract would be in the situation where the person making the offer would promise to the person considering the offer that s/he would pay upon the completion of the requested act. Once that act was completed by the person considering the offer, a contract would be formed. For instance, if Batman promised to pay for Superman’s new Fortress of Solitude, if he captures the Joker and returns him to Arkham Asylum. In this circumstance, Superman neither has a duty to capture the Joker nor is obligated to obey Batman’s request. However, if Superman does indeed go out and find the Joker and return him to Arkham Asylum, Batman would be obligated to pay for Superman’s new Fortress of Solitude.
(2.) The above Batman-Superman scenario describes all the elements of a unilateral contract. First, it is an enforceable agreement. If completed Superman can force Batman to pay for the services rendered. Second, it expressly requires performance of its terms. Superman cannot simply promise Batman that he will capture the Joker; he must not only go out and capture the Joker but return him to Arkham Asylum. Third, Superman can only accept the offer by performing the requested task. In other words, Batman has not or cannot impose any liability on Superman deciding on capturing another criminal. But if he does than Batman must acknowledge that Superman accepted his offer and a valid contract exists between them.
References
Brian Blum, Examples and Explanations: Contracts (6th ed. 2013).
Clarkson, K.W., Miller, R.L., & Cross, F.B. (2012). Business law: Text and cases: Legal, ethical, global, and corporate environment, 12th ed. New York, NY: Cengage.
Legal Information Institute of Cornell University Law School (LII). (2016). Unilateral contract. Retrieved from https://www.law.cornell.edu/wex/unilateral_contract
Sullivan, T.J. (1975). The concept of benefit in the law of quasi-contract. Retrieved from http://scholarship.law.wm.edu/cgi/viewcontent.cgi?article=1506&context=facpubs
