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Assignment Instructions: For each problem, explain whether a contract exists. If you determine a contract exists, further explain whether the contract is valid (enforceable), unenforceable,

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Assignment Instructions: For each problem, explain whether a contract exists. If you determine a contract exists, further explain whether the contract is valid (enforceable), unenforceable, or voidable. If you determine a contract doesn't exist explain why it is simply an agreement or vold. Your answer to each question is potentially worth 15 points. 1. Jones, a farmer, found an odd-looking stone in his fields. He went to Smith, the town jeweler, and asked him what he thought it was. Smith said he did not know but thought it might be a ruby. Jones asked Smith what he would pay for it, and Smith said two hundred dollars. whereupon jones sold it to Smith for $200. The stone turned out to be an uncut diamond worth $3,000. Jones filed suit against Smith to recover the stone. On trial it was proved that Smith actually did not know the stone was a diamond when he bought it, but he thought it might be a ruby. 2. Charles Leigh, engaged in the industrial laundry business in Central City, employed Tim Close (who was previously employed in the home laundry business) as a route salesman on July 1. 1984. Leigh rents linens and industrial uniforms to commercial customers: the soiled linens and uniforms are picked up at regular intervals by route drivers and replaced with clean ones. Every employee is assigned a list of customers. The contract of employment stated that in consideration of being employed. upon termination of his employment, Close would not directly or indirectly engage in the linen supply business or any competitive business within Central City, Illinois, for a period of one year from the date when his employment under this contract ceases: On May 10 of the following year. Leigh terminated Close's employment for valid reasons. Thereafter, Close accepted employment with Ajax Linen Service, a direct competitor of Leigh in Central City. He commenced soliciting former customers whom he had called on for Leigh and obtained some of them as customers for Ajax. Leigh sues Close to enforce the provisions of the noncompetition agreement

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