Business Law Contracts, Defenses, Breach, And Remedies
The Dream House:
-Was your contract with Bobby a unilateral or bilateral contract; if unilateral, at what time did Bobby substantially undertake performance?
The prerequisites for a bilateral contract are that an offer must be made, that offer must be accepted, and consideration must be tendered. In the Dream House scenario, I offered Bobby an opportunity to build my house in exchange for $500,000, and Bobby accepted my offer. Bargaining the performance of construction work in exchange for a predetermined payment amount represents consideration, completing the third and final requirement and making this agreement a bilateral contract.
-What remedies and/or damages are available to you and to Bobby?
I would be able to sue Bobby for damages while seeking the amount needed to compensate Sheila to complete the unfinished job, which amounts to a sum of $350,000. Conversely, Bobby could defend himself by claiming that he must be discharged from the contract on grounds that substantial performance has been achieved. However, this defense strategy is only applicable in situations whereby the party in...
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