Wilbur, who has had difficulty making up his mind for most of his 29 years, was sitting around on Sunday with some of his friends. At one point, he says, “I’m going to try to sell my car, and if I get an offer close to $9,000 I’m going to take it.” Andy, one of the friends, thinks to himself that this might be a good deal. The following events occur later that same week:
Monday: Wilbur arranges with the local newspaper for an advertisement to run beginning on Saturday which will say, “1999 Honda Prelude, excellent, 1st $8,000 takes it. See it at 1902 Maple Street.”
Thursday: Andy delivers a note to Wilbur, which Wilbur reads later on Tuesday. The note says, “I’ll take your car for $9,000” and what about new tires, and is signed by Andy.
Friday: Wilbur thinks he may have underpriced the car and calls the paper to cancel. It is too late to make changes for Saturday so the ad runs. A new ad will start Sunday that says 1999 Honda Prelude excellent , many options available. $10,000. Friday night before he goes to bed, he moves the car to the next door neighbor’s driveway and put a sign on the car $10,000.
Saturday: Bob shows up with $8,000 in hand to buy the car. Wilbur refuses to sell the car to Bob.
Andy and Bob each separately sue Wilbur wanting to force him to sell the car claiming that a contract has been formed. Discuss separately each case and how it might come out, including the arguments the parties would most likely raise. Support your answer with law.
Learning Activity #2
Henry had worked for a local medium-size manufacturer for over 30 years. A couple of weeks before he retired, the company director of human resources told Henry that the company would pay for health insurance for Henry and his wife for the remainder of his life, and since he was such a good employee, for his wife’s life if she were to survive him. He then received a letter from the company describing this. Henry had always known that the company provided this benefit to a few of its select employees. Henry didn’t really expect that he would receive it, although he had secretly hoped so for some time. Four years after retirement Henry contracted cancer and incurred substantial medical bills under his insurance plan. Henry then received a letter from his former employer saying that the employer was discontinuing its payment of health insurance for those retirees who were receiving this benefit. Henry is considering suing the company to force it to live up to its agreement. Discuss the issues and likely resolution of Henry’s case. Cite your authority.