Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Dylan wrote to Mehaka offering to sell his rare vintage cola sign for $25,000. Mehaka replied that since purchasing the sign would require that he

image text in transcribed
Dylan wrote to Mehaka offering to sell his rare vintage cola sign for $25,000. Mehaka replied that since purchasing the sign would require that he redecorate, he could not really pay more than $18,000 for the sign. Dylan replied in a letter that he was hurt by such an offer as Mehaka had been to his house and repeatedly offered to buy it to add to his own sign collection, but that, since he was a little tight for cash, he would be willing to let it go to Mehaka for $230. Mehaka immediately replied in writing, saying that he accepted the sign at $230 and enquiring whether Dylan wanted it in cash. Dylan then realized that he had typed "S230" instead of "$23,000" in his second letter to Mohaka, as he had intended. Since a reasonable person would have realized that Dylan had made a mistake, given their prior correspondence, a court would not allow Mehaka to snap up the offer. Since the courts do not consider the adequacy of consideration in determining whether or not a contract has been reached, Mehaka will be able to enforce the contract for $13,000 Mehaka could not be expected to read Dylan's mind and, since he accepted the offer in good faith, Dylan cannot now back out of their contract it is not the function of the court to consider the motives of a party negotiating a contract in asking for what to others might seem to be inadequate consideration from the other party, so Mehaka will be able to enforce the contract It was up to Dylan not to make mistakes like this and the court will not allow him to use his own carelessness to excuse him from meeting his obligations under the contract

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Principles Understanding Important Terms And Principles Of Accounting

Authors: Lyndsay Sudduth

1st Edition

B0B5KV57NJ, 979-8840104033

More Books

Students also viewed these Accounting questions