FRED, a struggling young business executive with high hopes of making it big, went to Tacoma. Upon his arrival, he started to look for a job. He talked to ADAMS, President of WIDGET, INC., about the possibility of obtaining a job. ADAMS took an immediate liking to FRED and orally offered him a job for five (5) years as his personal assistant at a salary of $80,000.00 per year. FRED immediately accepted the offer. ADAMS told FRED to report to work at 8:00 a.m. the next day. ADAMS and FRED then shook hands to consummate the agreement and FRED left.

Having obtained a job, FRED then proceeded to look for a car to drive to work. He went to XYZ MOTORS. After looking around, he found a car that he wanted to buy. However, when he found out that the cost of the car was $9,000.00, he told the Salesperson, BOB, that he would need to go out and get a loan. The salesperson, BOB, told FRED not to worry and that he would keep the offer open to FRED for a week. FRED suggested that they put this contract in writing, but BOB, the salesperson, stated that it was not necessary. FRED then said "OK" and left. FRED then went back to his friend's house to tell him of his good fortune.

The next day, FRED showed up at WIDGET, INC. to start work. ADAMS met him at the door and told him that he had changed his mind and that he could not hire FRED. FRED protested and said, "But we have a Contract." ADAMS said "NO, we do not." ADAMS asked FRED to leave.

Later in the day, FRED obtained his loan of $9,000.00 and went back to XYZ Motors to buy his car. BOB, the salesperson, told FRED that he could not do so as he had agreed to sell the car to someone else and told FRED that he would not sell him the car and for FRED to leave.

FRED now sues WIDGET and ADAMS claiming they breached their Contract with him and owe him either a job or money. Who would prevail in this lawsuit and why?

FRED also sues XYZ Motors and BOB claiming that they breached their Contract with FRED and should be forced to sell him the car or pay him money. Who would prevail in this lawsuit and why?

Question 1 - Part 1 FRED vs. WIDGET, INC. and ADAMS

What Legal Defenses, if any, could WIDGET and ADAMS use to avoid having to give FRED a job or, paying FRED any money? Set forth theexact LAW(s) which WIDGET and ADAMS could use to support and defend their positions.

Question 1 - Part 2 FRED's Responses

What Legal Responses, if any, could FRED use to defeat WIDGET's and ADAMS Defenses? Would FRED be successful?

Question 2 - Part 1 FRED vs. XYZ MOTORS and BOB

What Legal Defenses could XYZ and BOB use to avoid having to sell the car to FRED or paying FRED any money. Set forth theexact LAW(s) that XYZ and BOB could use to defend their position. What would be FRED's Legal Responses, if any, to XYZ's and BOB's Defenses?