Question
In the below scenario, with specific reference to the common law of contract, is Tom bound by his promise that he wouldn't demand the $10
In the below scenario, with specific reference to thecommon law of contract,is Tom bound by his promise that he wouldn't demand the $10 000 shortfall?
Jared owes Tom, the timber merchant, $110,000 for timber Tom has supplied for the flooring in the house.
Jared tells Tom that he'll recommend the timber yard to all his building colleagues, if Tom will accept $100,000 in full payment of the debt.
Tom agrees to accept the lesser amount, and promises not to demand the $10,000 shortfall.
Tom doesn't notice any increase in business over the next month, so Jared and demands the $10,000.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started