CASE #1

Syed and Jared were watching the Super Bowl together and had a few too many alcoholic beverages. They had been discussing going into business together throughout the semester to sell knock off sports jerseys to their university friends. While they were drinking, they decided to purchase $5000 worth of jerseys from an internet vendor in China. Syed put the jerseys on his parent's credit card with the promise that Jared would pay for half of the balance before the end of the week. They shook on the deal.

In the morning, Jared did not recall that they had purchased the jerseys and decided he did not want to go into business with Syed.Syed was pretty angry and told him he was bound by the contract and he was going to sue him.

When the jerseys arrived a week later, they were jerseys from European sports teams that Syed had never heard of. He was wondering if he has any legal recourse now that the jerseys have arrived.

In the meantime, Syed's parents noticed a strange charge on their credit card and contacted the credit card company to complain.Syed had forgotten to let them know that he had used it for his new business.

1. What considerations would you look at to determine if Syed and Jared had a contract?
2. What considerations would Syed need to look at to see if there was a way out of the contract?
3. Would Syed's parents be liable for the $5000 charge?What legal principles need to be considered here?
4. If Syed and Jared had got the right jerseys and tried to sell them as originals, explain if there would be any considerations under tort law?