Juan entered in an oral contract to buy luke's vacant building for $50,000. He gave Luke a $5,000 deposit. They intended to reduce their agreement to a written contract letter. Pursuant to their oral agreement, Juan took possessions of the building and spent $30,000 making improvements so that it would be capable of being rented to the public. Due to rise in the value of similar properties, Luke served Juan with a notice to vacate the building. Luke contends the oral contract is unenforceable and that Juan must vacate the building.

a. What is Luke's best argument that the contract is unenforceable?

b. What arguments could Juan make to argue that the contract is enforceable?

c.With whom do you agree? Why?