Question

Martha owned a home and adjoining vacant lot in a subdivision located in Columbus, Ohio. Bill owned a home next to the vacant lot and wanted to obtain the lot so he could build a garage. Martha and Bill entered into a verbal agreement whereby Martha agreed to sell the lot to Bill for $15,000. Bill paid the $15,000 to Martha and she accepted the money. Bill started to build a garage on the lot but Martha had second thoughts. She returned the $15,000 to Bill and claimed there was no binding contract because there was no written agreement. Bill sues Martha. What is Bill's best legal argument? Explain your answer completely.

Answer 1

The case has the following elements namely:-

• Offer and acceptance.
• Competency of parties
• Legality of subject matter
• Consideration ( motive, money or promise exchanged)

Martha agreed to the offer of Bill to sell the vacant lot for $ 15,000 . Both Martha and Bill are competent parties to sell and buy as Martha is the owner of the vacant lot and Bill wanted to buy the vacant lot. There was an exchange of consideration i.e. money between Martha and Bill. Thus the contract does not have to be written if it includes essential elements of the agreement. Bill's best legal argument is the exchange of consideration that took place between him and Martha that would help him to prove that a contract existed between him and Martha even if it is not in writing.