It is important to set up the site properly so as to protect the business (for example, by ensuring that your terms are accepted before transactions proceed to contract formation), and to comply with the law.
Betty was willing to buy BMWS from Andrew thus why she discussed prices and various options with Andrew. Betty said wanted 12 cars top of the range and the next day Andrew telephoned Betty leaving a message on Betty's telephone answer machine offering to sell the cars for $ 38,000 each .in order for an offer to be an enforceable contract, certain basic requirements must be present. There must be an agreement based upon genuine concert of the parties supported by consideration and made for a lawful object between competent parties. (Hussain pg 114, 2002). An offer may be byword of mouth in writing or by conduct.
After the discussion between Betty and Andrew the Later agreed to sell the BMWS at $ 38,000 each which was communicated to Betty. The moment a person express his acceptance of an offer the very moment the contract is concluded and does not matter whether the acceptance is byword of mouth or in witting. A contract is complete only when acceptance is actually communicated to the offer. Betty accepted to buy the $ 38,000 through an email she sent to her personal assistance (Carol) who forwarded it to Andrew. For this case the contract of the sale became binding immediately the email of acceptance from Betty was forwarded to Andrew.
Carol was Betty's personal assistance and she acted as an agent to her. Her agency was created through an agency by necessity. Law may confer an authority where an agent acted by reason and genuine emergency with a view to protecting his principal's goods, which are in danger of being perished. Her action must have been performed in good faith. She must not assume the role of an agent of necessity unless she is unable to communicate with Betty to obtain fresh instructions.
Carol could not have gone ahead and accepted key for the 12 BMW'S without getting fresh instructions from Betty knowing very well she had changed her mind and wanted convertible BMWs at the same price. Hence she is liable for accepting keys to the vehicles without getting further instructions from Betty.
Betty is liable to pay for the BMW'S since her personal assistance (carol) intimidated to the seller that he had accepted the good vehicles by accepting the keys.
Andrew has rights against Betty and he can sue Betty for the price of the vehicle since the vehicle had been passed to Betty. He can also be entitled to maintain an action for damages if the buyer refuses to accept the delivery and pay for them.
Damage is the estimated loss directly and naturally resulting from the buyer's breach of contract. The damages awarded will be different between the contract and the price at the time when the goods ought to have been accepted or if no time was fixed for acceptance, then at the time of the refusal to accept.
When Betty asked Andrew to collect his vehicles because she was not going to buy them, Andrew reduced $ 1,000 on cash vehicle. Considered is necessary not for making the contracts, but also for their discharge for example, an agreement to accept the smaller sum in full satisfactory of a large debt is not binding because there is no consideration and the party agreeing to it way sue for the balance. It is however, possible to discharge an existing