Discuss, giving at least one example in your primary post, whether (or not) options contracts serve a useful business purpose?

CASE 10.2 STATE COURT CASE Counteroffer Ehlen v. Melvin 823 N.W.2d 780, 2012 N.D. Lexis 252 (2012) Supreme Court of North Dakota "The parties' mutual assent is determined by their rights conveyed by the Melvins were limited to the objective manifestations, not their secret intentions." rights that they owned, and that the property was -Kapsner, Justice subject to a federal wetland easement and an agri- cultural lease. The Melvins handwrote the changes on the Agreement, initialed each change, signed the Facts Agreement, and returned it to Ehlen. When the Mel- Paul Ehlen signed a document titled "Purchase vins had not heard from Ehlen on the date of the Agreement" (Agreement) offering to purchase real proposed closing, they notified Ehlen that the trans- estate owned by John M. and LynnDee Melvin (the action was terminated. Ehlen sued the Melvins to Melvins) for 8850,000, with closing to be within enforce the Purchase Agreement as modified by 12 days. Two days after the offer was made by Ehlen, them, alleging that there was a binding and enforce- the Melvins modified the terms of the Agreement by able contract. The trial court held that the Melvins correcting the spelling of LynnDee Melvin's name had made a counteroffer that had not been accepted and the description of the property, adding that the by Ehlen, and therefore there was no contract. Ehlen property was to be sold "as is," that the mineral appealed.Issue the changes. The evidence supports the court's Was a counteroffer made by the Melvins that Ehlen finding that Ehlen did not accept the Melvins' accepted? counteroffer. Language of the Court Decision The parties' mutual assent is determined by The supreme court of North Dakota held that no their objective manifestations, not their secret agreement existed between Ehlen and the Melvins. intentions. We conclude the evidence sup- ports the court's finding that the parties did not agree to the essential terms of the agree- Critical Legal Thinking Questions ment and the Melvins' modifications to the Did Ehlen act ethically in trying to enforce the agreement constituted a counteroffer. Ehlen purported contract? What would be the conse- did not sign the modified agreement or initial quence if silence were considered acceptance