CASE SCENARIO

The law firm where you work as a paralegal represents Bell Enterprises, a company in the business of selling gold and silver. A long-time customer of the company, Gary McGraw, placed an order for 300 ounces of silver for $10,000. The company immediately ordered and paid for the silver. Once the silver arrived at Bell Enterprises, the company contacted McGraw about payment. He told the company to continue to hold it in its vault, and he would be in to pick it up soon. Meanwhile, the price of silver fell substantially. When McGraw refused to pick up and pay for the silver, the company sold it for $4,000, thereby incurring a loss of $6,000.

CASE SCENARIO REVISITED

Now that you understand more about the Statute of Frauds and the doctrine of promissory estoppel, consider the case scenario from the beginning of the chapter. Do you think the Statute of Frauds will prevent Bell Enterprises from enforcing Gary McGraws oral promise to buy the silver? Does the doctrine of promissory estoppel prevent the application of the Statute of Frauds in this case? See Atlantic Wholesale Co. v. Solondz, 320 S.E.2d 720 (S.C. Ct. App. 1984) to help you with your answer.

• Summarize the case and highlight relevant facts.
• Do you think the Statute of Frauds will prevent Bell Enterprises from enforcing Gary McGraw's oral promise to buy the silver?
• Does the doctrine of promissory estoppel prevent the application of the Statute of Frauds in this case?