Question
Phil operates a marina that sells boats and provides dock space and boat storage to its customers.On Aug 1, 2015 Joe purchased the marina from
Phil operates a marina that sells boats and provides dock space and boat storage to its customers.On Aug 1, 2015 Joe purchased the marina from Phil.As part of the sale, Joe took over all the existing contracts Phil had for the storage and docking of boats.
Tom had a contract with Phil to store his boat at the marina over the winter and to rent dock space as the marina during the boating season. The contract was due to expire on Mar 31, 2016.
When Tom went to the marina on Oct 1, 2015 to arrange his boat to
be removed from the water and placed into storage for the winter, he found out the
marina had been sold. Joe told him that he would be willing to renew Tom's contract
for dock space for the period of Apr 1, 2016 through Mar 31, 2017 at the same
price he had paid in 2015, if Tom agreed on the spot. Tom orally agreed to Joe's
offer.
Then on Mar 1, 2016, Tom notified Joe that he had graduated from
school and is moving his boat to another marina that is closer to his work.He
arranged to have his boat hauled to the new marina, butJoe demanded that Tom
pay him for the dock space and storage for 2016-2017, claiming that he and Tom
had an enforceable contract. Tom refused to pay.
Come spring, 2016, Joe hired Quin to replace all of the marina's
docks.The contact specified that the dock's top surface decking would be
made of treated wood, yet Quin used a fake material which was visually the same
from the treated wood, with a comparable price to treated wood, as well as
having comparable properties (strength, slip/rot resistance, long lasting, same
general upkeep).When the work was complete Joe refused to pay Quin, as Quin
didn't do the work in accordance to the contract.Quin pursued an action
against Joe to recover damages resulting in the breach of the contract.
On Mar 15, 2016, Joe was looking to add a boat to his showroom
and decided to call a boat distributor he knew, Bobbi, to order a Holy Boat
that would cost $35k plus shipping.Joe told Bobbi to ship the boat.
The same day, Bobbi confirmed the order by sending Joe a fax to which specified that
a Holy Boat would be shipped for deliver to him no later than Apr 15, 2016, for
$35k + shipping.Joe received the fax, however, he didn't respond.
On Apr 1, 2016, Joe realized he could get the same boat from a
different distributor, Ross, for $33k, shipping included. He immediately called
Bobbi and
cancelled the order for the Holy boat.2-weeks later, Bobbi, who had a large
inventory of Holy Boat's, sold the boat she had planned to deliver to Joe to
Stuart, another customer, for $35k + shipping.
Bobbi has started a lawsuit against Joe for breach of contract. Joe has
answered raising the defense of the statute of frauds.
A. Is the contract between Joe and Tom enforceable?
B. Is Quin entitled to recover on his contract with Joe?
C. Based on Bobbi's action against Joe, answer the following and
explain:
-How likely is Bobbi to succeed in her action against Joe?
-If Bobbi is successful in her action, what damages may she properly recover from Joe?
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