Li decides to build a new sports centre, and in March he approaches several architects to see whether they would be interested in tendering for the contract to design the sports centre. Adrian and Jenli both express interest and enter separately into discussions with Li.

During the discussions with Adrian, Li tells him that he is very interested in Adrian's ideas, and that 'the deal is pretty much done' to appoint Adrian as the project architect. Adrian realises that this will be a very high profile project, and at the beginning of April he decides to turn down other work to concentrate on detailed proposals for the design of Li's sports centre.

Early in May, Li appoints Jenli as the project architect, but he does not tell Adrian. When Adrian delivers to Li his complete proposed design for the sports centre at the beginning of July, the cost to Adrian has been $300,000 (in terms of costs incurred in preparing the plans, and other work he has turned down).

In order to win the contract, and because she thought that Adrian was still the preferred tenderer, Jenli quoted $420,000, a very low price, for the architectural work on Li's project. Soon after she was awarded the contract, Jenli realises that she would face real financial difficulties, so she tells Li that unless he increases the price to $600,000 she will not continue the work. By this time Li is concerned about the delay involved if he has to find another architect; he is also pleased with the Jenli's outline and he thinks that his new building may win a design award. Li therefore agrees to pay the higher price. Once Jenli has completed the design, however, he refuses to pay more than the original contract price.

Advise Adrian and Jenli.