Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Bike Builder, a sole proprietor business, makes custom bicycles for off road use.Off Road Bike Tours, Inc. contacts Bike Builder and requests 500 specially made

Bike Builder, a sole proprietor business, makes custom bicycles for off road use.Off Road Bike Tours, Inc. contacts Bike Builder and requests 500 specially made bicycles that it plans to use for its tours.Bike Builder explained to Off Road Bike Tours that it had limited resources and that this is a large order for it and would require Bike Builder to order new special equipment, supplies and some additional training.Plus, Bike Builder would have to turn down other business during the estimated 2 years it will take to fill the order.Bike Builder set the price at $500,000.Off Road Bike Tour verbally agreed to this and the other terms.Bike Builder began working on the bikes.A month later, before Bike Builder had finished any bikes, Off Road Bike Tours canceled the order.Bike Builder sues.Who wins?

a. Off Road Bike Tours would win because it canceled prior to any bikes being built.

b. Off Road Bike Tours would win because the statute of frauds requires this contract to be in writing and Bike Builder has no other cause of action.

c. Bike Builder would win because the two had an enforceable contract.

d. Bike Builder would win under the legal doctrine of promissory estoppel if it had detrimentally relied on Off Road Bile Tours' promise.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Medical Law

Authors: Jo Samanta Ash Samanta

2nd Edition

1137486589, 978-1137486585

More Books

Students also viewed these Law questions