Corey, from Stockton, works at a law firm in Modesto as an associate attorney. Each year the lawyers put together a Superbowl pool made up of 100 squares. Each entrant pays $20 to "buy" a square. During the game, money is award based on the scores at the end of each quarter of play (i.e., if the score of the game is 13 to 7 in favor of San Francisco over Kansas City, at the end of the 1st quarter, the person with square 3 - SF and 7 - KC, wins a portion of the total pot. Same goes for halftime, the 3rd quarter, and and the final.

This pool does NOT pay out all moneys to the contestant as many Superbowl pools do. Rather, some of the entry fee ($5) is held back from each entry to pay for a party that all of the contestants are invited to attend during the game.

In 2020, the tournament was organized by Brian Cheatam - another attorney in the firm. Mr. Cheatam lives in Sacramento. 100 people participate in the pool, meaning they have $2000 in total money - $1,500 for prizes and $500 for the party. At the party, there are several games that people can play for prize money. These include: A football toss, where the winner is determined by who can hit a target the most times with a football in 20 seconds; a door prize for the person who sits in the chair with the hidden envelope underneath the seat; and a wheel (think Wheel of Fortune) that spins where the contestant who lands there spin on the winning spot, gets a prize.

Corey is a 49er's fan. She follows them all year. As a result, she buys her square and goes to the party to watch the game. During the game her numbers come up every quarter. She has 0 and 7. (The score is 10 to 7, then 20 to 17, then 30 to 17, then 40 to 27). Also, while at the party, she wins the football toss, sits in the correct chair and spins the wheel, landing on the winning spot. Amazing, I know.

After the Niners win, she goes to collect her winnings, but Cheatam is already gone. She goes to his office at work the next Monday, only to discover that he's left the firm. She calls his home number and he tells her that the overhead for the party and the prizes actually left them with no money to pay the winners. He also says, he liked the prizes that he bought so much that he decided to keep them.

Law suits are filed. Who should sue and where should suit be filed? What are the grounds for the suits and the potential damages available? What defenses may be raised? Who will win? Identify the issues and explain all sides.