Mary offered to sell Mike several pieces of rare Chinese art at a very good price because they were duplicates in her own collection. Mike could not accept the offer at that time, but he did give Mary $500 in return for her promise to keep her offer
open for three (3 ) weeks. Mike returned with the agreed-upon balance two weeks later to find that Mary already had sold the pieces she had offered to sell to him. Mary explained that she had been able to get a better price from another buyer. She offered to return Mike's $500 and insisted that this was all she was obligated to do. Is Mary right?
?Mary is incorrect. By offering and accepting consideration, Mike and Mary had entered into an option contract. Mary was obligated to honor her offer to Mike for the three-week period-that is, she gave him the option to purchase at the agreed-upon price.
You might also like to view...
Which of the following is not a best practice in preparing Unified Modeling Language (UML) Class diagrams?
A. Avoid confusing abbreviations. B. Model each process separately. C. Avoid crossing lines whenever possible. D. Opt for simplicity.
Examples of organizational teams can include all of the following except ______.
A. task force B. work unit C. quality team D. project manager
The production budget is typically prepared before the direct materials budget.
Answer the following statement true (T) or false (F)
Joan Woodward divided firms into three distinct technologies that had increasing levels of complexity and sophistication: unit production, mass production, and ________.
A. continous production B. repetitive flow production C. series production D. process production