Mgmt. 108 Project #1
Kimia Ghalambor, Lian Kimia,
Daniel Aeina, Kate Berger
Richards initially contacts Flowers to
Flowers then responds with an invitation to
negotiate, saying “I
He does not make an offer or clearly state that he will
sell the Lot to Richards.
He could potentially sell to someone else at a price higher or lower than
$400,000. When Richards responds “Have agreed to buy”, he makes an offer to buy Flowers’ Lot
for $400,000 in cash.
However, one of the four requirements to have a valid contract, agreement,
is not met.
Although the offer exists, Flowers does not unequivocally accept the offer.
on Flowers’ part does not constitute acceptance. Moreover, for a contract to have been formed,
the terms must be “sufficiently definite”, which they are not.
Although there is identification of
the parties, object, and consideration, no exact time of payment, delivery, or performance that is
Therefore, contrary to Richards’ beliefs, Flowers’ intent to form a contract is not clear and
no contract is formed.
There are four requirements for a contract to be valid: consideration, legality, contractual
capacity, and agreement.
Because EZ Carpet never agreed to the offer, agreement is lacking and
no contract is enforceable.
An advertisement is not an offer unless it makes a promise that is
definite in character.
The advertisement is an invitation to negotiate.
When Harry mails the