On May 1, Newtown Motors, a used-car dealer, wrote a letter to O'Reilly, stating that: "We have a 1969 Pontiac Firebird in mint condition that we will sell you for $12,500 at any time before June 1. [Signed] Newtown Motors."

Having heard nothing from O'Reilly by May 15, Newtown Motors sold the car to another party.

On May 25, O'Reilly told Newtown Motors that he accepted the offer and tendered $12,500.

When Newtown Motors told O'Reilly it had sold the car to another party, O'Reilly claimed Newtown Motors had breached their contract.

Please answer the following questions and provide the reasoning behind your conclusion,i.e. list the applicable rule, and provide an analysis by applying the facts to the rule to reach a conclusion.

(a) Is Newtown Motors in breach? Why or why not?

(b) What remedies can O'Reilly claim?

(c) In whose favor would a court likely rule?