Question
Case study on assumption base: Hasan and Pietro are best friends. On June 2, Hasan meets Pietro for a drink and tells him that he
Case study on assumption base:
Hasan and Pietro are best friends. On June 2, Hasan meets Pietro for a drink and tells him that he is thinking about buying a sports car. Pietro replies that he (Pietro) wants to sell his 2018 Mustang as there is a newer and better model available. Pietro tells Hasan that he is happy to sell it to him "on a business basis". Pietro says that he wants "about $75,000 or thereabouts" for it. That evening, Hasan sends an email to Pietro which read: "I accept your offer to sell the car for $70,000 and will transfer the money in a few days." On February 3, Pietro sent an email in reply to Hasan. This email read: "Are you crazy?? I wouldn't sell the car for that. I want $80,000 for it. To avoid any further misunderstanding, don't email me again unless you do not want the car at this price". Hasan was so upset by the first sentence of Pietro's email that he deleted it without reading the rest of the message and did not reply. Two weeks later, Pietro called Hasan and demanded payment of the $80,000 and offered to deliver the car that same day.
Identify the legal issues raised in this question and advise Hasan whether he has a binding contract with Pietro.
Reference: Canadian Business Law Chapter 3 Formation of Valid Contract
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