August 1 Sarah, the owner of a hotel, entered into a contract with the Smith Family. Bob Smith booked all of Sarah's rooms for a big family reunion and promised to pay when he arrived in October for the family reunion. Sarah gave Bob a special group rate and confirmed with Bob that the booking could not be canceled for any reason. On August 15, Bob contacted Sarah and advised that Bob changed his mind and that the family had decided to go to Florida for the reunion instead. Sarah was furious. She thought about suing Bob immediately, but changed her mind since she did not want to waste her time on a lawsuit. On August 16, the Foo Fighters emailed Sarah to book all of Sarah's rooms for the same October weekend as Bob's family reunion and promised to pay full price, due to the upcoming concert. Sarah was excited. She immediately replied and advised that the Foo Fighters could have all the rooms at the full price. August 17, Bob emailed Sarah, apologized for his previous message, and told Sarah he would again take the hotel rooms as Florida was projected to get hit by a hurricane in October.

Was Sarah able to rent the rooms to the Foo Fighters?

a. No, she had a contract with Bob

b. Yes, Bob had anticipatorily breached the contract and Sarah could have sued him August 15. Bob was unable to restore the Parties to the original contract.

c. Yes, as she is a business owner.

d. No, because Bob was free to modify terms of the contract.