Contract Case Study

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Generally, to have a valid contract, there must be (1) offer; (2) acceptance; (3) consideration; (4) parties have capacity to execute contract; and (5) it is a legally enforceable contract. (Miller, 2013). Offer is an objective manifestation by the offeror to execute a contract which gives the power of acceptance to the offeree. (Miller, 2013). Acceptance is an objective manifestation by the offeree to accept the contract. (Carlill v. Carbolic Smoke Ball Co., 1892). Also, consideration exists by bargained-for-exchange between the offeror and offeree. (Labriola v. Pollard Group, Inc., 2004). Lastly, movable goods are governed by Uniform Commercial Code (U.C.C., 2003). U.C.C. has specific rules for auction contracts. An offer is accepted when …show more content…

(Miller, 2013). However, when damages are inadequate, courts allow specific performance. Specific performance means the courts force the parties to perform the contracts. (Miller, 2013). Damages are inadequate when the goods or services are unique, such as painting, sculpture, or other specially manufactured goods (Miller, 2013). Here, Pearl may argue that this is a unique goods, warranting specific performance. The dress is strapless giraffe printed. It is made of silk, satin with velvet markings. The dress was also used in a movie filmed in South Africa. The dress was also showcased in the Silkadonia Actors Guild Museum. These facts all indicate the uniqueness of this goods, implying that damages are likely inadequate. Pearl will likely request specific performance to complete the transaction. Other factors for specific performance include feasibility or enforceability of contract by the courts (Miller, 2013), and satisfaction of condition precedent (Miller, 2013). Feasibility of contract means that the court has the power to enforce the contract. (Crafts v. Pitts, 2006). Condition precedents means that the obligations of the nonbreaching party must have satisfied certain conditions to enforce specific performance against the other party. (Centex Corp. v. Dalton,

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