Prepare a response relevant to the following facts. Label all parts.
Facts: A developer wants to purchase some beachside property to build a resort. There is a prime piece of land
that the developer wants to buy.
On April 10th, the developer sent the owner an offer to buy the property for $1,000,000.00. The owner
responded that same day that he wanted $1,500,000.00 for the property. The developer received the response
the next day on April 11th.
After receiving the communication from the owner on April 11th asking for $1,500,000 to sell the property, the
developer considered what to do next. On April 20th, the developer advised the owner that he would buy the
property for $900,000.00. On April 21, the owner sent a letter saying that he accepts the original offer of
$1,000.000.00 for the property. The developer does not respond to this last communication.
- Was there a contract on April 11th? Why or why not?
- Is there a contract to buy the property for $1,000,000 on April 22nd? Why or why not?
Sample Solution