1.

Several years ago, Ted had purchased a Fender electric guitar. Unfortunately, his lack of talent and unwillingness to practice got in the way of his dream of becoming a rock star. Last Saturday, his friend Bill was visiting Teds house and noticed the guitar in his basement (it had not been played for years). Bill could not believe his luck; he had found a classic Telecaster that was in mint condition.

Bill offered to purchase the guitar from his friend. Tedagreed and wrote up the contract: I offer to sell you my vintage Fender Telecaster. You must accept this offer in writing, and I must receive payment in cash before 5 p.m. on Wednesday. Bill signed accept the offer and left. He returned to Teds house on Tuesday evening with about $500 in cash. Ted answered the door and told him that unfortunately, the guitar was no longer available as he had had decided to trade it in on a new set of drums at the local music shop. Bill was very upset.

We had a contract Bill shouted. Was he right?

2)

Sheena loved her new life in Canada; however, she had come too hate winter! In particular, she dreaded the thought of having to shovel snow from her driveway and walkway. One day, in early November, Norma from Normas Number 1 Landscaping, knocked on her door and offered a pre-paid snow removal service that would ensure that her driveway and walkway would be cleared whenever it snowed. Sheena expressed her interest in the service and Norma handed her a contract to sign.

Sheena quickly looked at the contract but was not happy with the price - $1,400 ($350 per month for December March). Sheena ran back inside to find a pen and when she returned, she handed Norma the contract with $1,400 crossed out. She had written in the number $1,000 and placed her initials next to it.

Who is the offeror? Who is the offeree? Explain.