Question

1.      Jerry contracts in writing to sell his 2015 Polaris ATV to Robert for $11,000. Jerry agrees to deliver the ATV on Friday, and Robert promises to pay the $11,000 on the following Monday.

·         On Thursday, Robert tells Jerry that he changed his mind and will not buy

·         the ATV.

·         Over the weekend, Robert changes his mind again and tenders $11,000 to Jerry on Monday.

·         Jerry has not sold the ATV to another party but refuses the tender and refuses to deliver.

·         Robert claims that Jerry has breached their contract.

·         Jerry contends that Robert’s repudiation released him from his duty to perform under the contract.

Explain who is correct, and why.

Answer 1

As per the legal contract , Jerry had to deliver the ATV on Friday and Robert had to pay on Monday. When Robert changed his mind on Thursday regarding not purchasing the ATV, no legal changes were made to the contract nor was it discarded. It was merely word to mounth from Robert to Jerry due to which Jerry did not deliver. Now when Robert changed his mind over the weekend and decided to buy the ATV , he paid the $11000 as per the contract. Now if he sues Jerry for breaching the contract by not delivering the vehicle, he has breached the contract in the eyes of the law. Since Robert's repudiation was not legally declared and documented, Robert has the right to claim that Jerry has breached the contract.