Fred has won a holiday cottage with a market value of $80,000 in a radio competition that he entered. Feeling flush with his good luck, he wrote to his old friend Barney and offered to sell him his static caravan, valued at $10,000 for the bargain price of $7,500. He tells Barney in the letter that he can have two weeks to make his decision and that the offer will remain open for that time. Fred also promises Wilma, a Rainbow Brownie leader, a donation of $3,000 towards the building of a new village hall. Finally, he places an advertisement in his local newspaper offering a $200 reward for the safe return of his mobile phone that he lost when he was out jogging.

One week later, Fred is not feeling so generous. He receives a phone call from Barney saying that he will accept his offer and buy Fred's caravan. Barney was informed by Fred, however, that he had already sold the caravan to a local dealer who had paid him $8,000. There is also bad news for Wilma who has already incurred some expense in having plans drawn up for the new village hall on the strength of Fred's promise when Fred tells her he has changed his mind over making the donation. Also, Betty who found and returned Fred's mobile phone has not received a reward.

Advise Barney, Wilma and Betty of any rights they have against Fred.