Question

On May 1, Olivia, a used car dealer, mailed to Jared, another used car dealer, a...

On May 1, Olivia, a used car dealer, mailed to Jared, another used car dealer, a written and signed offer to sell 5 late model Honda Accord automobiles for a total price of $50,000. On the morning of May 8, Terry, also a used car dealer, went to Olivia’s place of business, saw the 5 Honda Accord automobiles and bought them from Olivia for $60,000 cash. At 1:00 PM, on May 8, Olivia sent an email to Jared notifying Jared that she had sold the automobiles and was therefore revoking her May 1 offer. Jared received and read this email at 1:05 PM. On May 6, Jared had mailed an acceptance letter to Olivia. Olivia received this letter on May 9. Jared claims there is a contract between them. Olivia disputes Jared’s claim. Jared sues Olivia for breach of contract. Judgment for whom? Explain fully.

Homework Answers

Answer #1

ANS'

The judgement would be in the favour of Olivia only. Since Olivia had made an offer to Jared about the selling of 5 Honda but at that time Jared didn't reply for the acceptance of the offer so the silence is termed to be as acceptance but after that Terry another dealer of used automobiles makes a bigger offer to Olivia ,so she would sell the automobiles to Terry only and she made the revocation of offer to Jared immediately .So as Olivia made a revocation now she cant be sued as that revokation is in mail and that is accepted in front of law .

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