Question
Ari was negotiating with Bella over the sale of his business.They met initially to discuss the sale at their places of work.A personal friendship developed
Ari was negotiating with Bella over the sale of his business.They met initially to discuss the sale at their places of work.A personal friendship developed between the two and they took to holding their meetings at a restaurant over dinner.
Unsure whether Bella had sufficient funds to purchase the business, on the 1stof May, Ari placed an advertisement on a trade website, advertising the business for sale as a going concern for 550,000.To bring matters to a head with Bella, over dinner on the 2ndof May, Ari offered to sell Bella the business as a going concern for 500,000 and tells her that she must accept the offer, "personally" by 5pm on the 10thof May.
On the 8thof May, Bella sent a letter to Ari indicating that she would accept the offer and that she had instructed her solicitor in the matter. The letter did not reach Ari until the 15thof May.
At 1pm on the 10thof May, Ari received an email from David who said he would buy the business for the asking price or 5,000 more than any other offer received.Assuming he would hear nothing further from Bella, Ari decided he would sell to David.He has not so far informed David of this.
Concerned she had heard nothing from Ari, Bella sent an email at 4pm on the 10threiterating her acceptance of Ari's offer.Ari immediately received and read the email but disregarded it.
Bella now claims she has a contract to buy the business and has now commenced proceedings to enforce the agreement.
Has Ari made a contract with Bella, David, both or neither? You need to be able to explain the conclusions you have reached and the case law authorities (or contract law rules) you have relied on in reaching your conclusions.If there are issues that you are unsure about, make a note of these and why they are difficult.
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