Question
Client contacts Consultant by email on December 15 th to inquire about Consultant's availability to do some work for Client in January.Client attached a description
Client contacts Consultant by email on December 15thto inquire about Consultant's availability to do some work for Client in January.Client attached a description of the project and a simple term sheet to the email.The terms offered Consultant $100/hour and limited the total number of hours to 100 for the project ($10,000 limit).
Consultant emailed the following reply on December 20th:
"Thanks very much for thinking of me.I do have time available for the project in January and accept your offered rate.But, I estimate the time required for the work to be 120 hours, so the contract limit must be raised to $12,000. Let me know if you have any problem with that.I will start work on January 2nd, unless I hear differently from you."
Client was away for the holidays and did not answer Consultant's email until January 9th, when she wrote back:
"Unfortunately, we don't have the budget for 120 hours.I've given the project to another contractor.I hope we can work together again soon."
Consultant had started the project on January 2ndand had it more than 50% complete by the time he received Client's email.He immediately called Client and left a voicemail telling her that he would have to accept the 100-hour limit because of all the time he had already spent and that he would be finished with the project in 3-4 days. Client didn't pick up the voice mail until 5 days later.On the same day, Consultant delivered the completed project to Client together with his invoice for $10,000.
Client, already being bound to another contractor for the project, returns the work Consultant did to him and refuses his invoice.If Contractor sues Client for damages, the most likely outcome would be:
Group of answer choices
Consultant will prevail and be awarded $12,000
Consultant will prevail and be awarded $10,000
Client will prevail and Consultant will be awarded $0
Client will prevail but the Court will order the payment of nominal damages to Consultant due to Client's inequitable conduct
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started