Question
Bill Bellahen manages a chain of 10 sports restaurants named Patriots Inn that specialize in pizza and wings, with large screen televisions to watch all
Bill Bellahen manages a chain of 10 sports restaurants named "Patriots Inn" that specialize in pizza and wings, with large screen televisions to watch all types of sporting events. Fret Bavre also owns a restaurant with a sports theme, Blue Lake Packing House. Fret has always admired the Patriots Inn chain and is thrilled one day when Bill emails him and writes "I am ready to sell the Patriots Inn chain of restaurants. I will offer it to you for a purchase price of $20 million." Fret replies by email, "I will pay that price for the Patriots Inn but we must close before the Super Bowl on Feb. 3." Bill does not respond. In the meantime, Bill receives a letter from Paul Carroll the owner of SeaHawks Corp. who states that he "would love to purchase the Patriots Inn chain for $25 million". Bill replies, "That sounds great. Let's do it". Bill and Paul announce the purchase and Fret objects, insisting that he and Bill had a deal. Did they? Why or why not?
Using the facts in the previous question, assume that the agreement between Patriots Inn and SeaHawks Corp. is valid and the sale is finalized. In the sales agreement SeaHawks Corp. agrees to complete all of the catering obligations of Patriots Inn that were pending before the sale. One of these catering contracts is with Tim Brady, a businessman who is giving an office party for his staff. SeaHawks contacts Tim and notifies him of the sale and that they will be catering the office party. Tim replies "Sounds great! I have some changes to the menu. Can we meet? ". SeaHawks and Tim meet and change the menu. SeaHawks also convinces Tim to add an open bar (alcoholic beverages) to the services that SeaHawks will offer, with Tim paying $2.50 per drink in addition to the food catering fee that had already been negotiated. SeaHawks fails to provide the food and drink required by the contract for Tim's party. Tim sues both SeaHawks and Patriots Inn for breach of contract. Are they correct? Why or why not? Answer using the IRAC method
(Only answer to second question needed)
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