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Business law

  1. Luke asks an acquaintance Steve if he’ll come help him work on his boat this Saturday. Steve is very busy, but says it will take $200 for him to pass up on some other jobs. Luke agrees to the terms. Do Luke and Steve have a contract? If so, what kind (s)? If not, what do we have here? (7)


  1. Suppose that his way and Like calls and tells him that he was able to complete the repairs by himself and there is no need for him to come now. What is Luke’s action called in the contract terminology? Can he legally do this at this point? Explain. (7)


  1. I’m furious at a local oil change place for the long wait time. I vent on Twitter and state that I will give $2000 to anyone that will spray paint “Horrible Service” on the front of their building. A guy with nothing to lose does and it and asks for the money. Will I have to pay? Explain. (6)


  1. If two people disagree about a contract being formed between them (one believes yes, the other no), what standard/view would a court use to look at the facts and determine if the required elements of a contract in fact existed? Explain (5)


  1. I offer to sell my bicycle for $450 on Craigslist. A couple of weeks later a guy sees me and shows me the $450 and wants the bicycle. Do I have to give them to him since he met my posted asking price (assuming they had not sold yet)? Explain. (6)


  1. Let’s say that I want to proceed with the sale and the night before I am to give the bike to him, I die in a freak car crash. What happens now with the bicycle sale?  (5)


  1. My wife and I are renovating an old house to flip it for a profit. When we purchase, we get a bid to renovate for $25,000. During the removal of the old tub and tile, it is discovered that there is substantial water damage and mold, which will cost an additional $10,000 to repair. Will the builder be able to hold us liable for the additional costs? Explain. (5)


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