Question
Jack Inc. has tendered and won the contract to build an office building for land developer, Jill Inc. During the construction, Jack Inc. runs into
Jack Inc. has tendered and won the contract to build an office building for land developer, Jill Inc. During the construction, Jack Inc. runs into unexpected financial difficulties and informs Jill Inc. that they are thinking of abandoning the project. Jill Inc., relying on completion at the agreed date, has already leased out large parts of the building. If Jack Inc. abandons the job, Jill Inc. will lose valuable time finding another builder to complete the project and will likely be in a breach of leases that he has made with prospective tenants. To avoid this difficulties, Jill Inc. offers to pay Jack Inc. an extra of $100,000.00 for pay overtime wages in order to complete the construction on time. Jack Inc. accepts and completes on the agreed date. Upon completion, Jill Inc. refuses to pay the additional sum on the grounds that he receives no consideration of his promise. Jack Inc. sued Jill Inc. Does the action of Jack Inc. prosper? A. Yes, there was an additional offer from Jill Inc. and was accepted by Jack Inc. B. No, because the performance of Jack Inc. is not a good consideration as the company was already bound to perform their contractual obligation. C. No, because the conduct of Jack Inc. is a form of economic blackmail. D. Yes, Jill Inc. is bound to perform their additional offer after the completion of the contract
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