Martha Hamilton was offered a position as director of sales for the American Eas

Question

Martha Hamilton was offered a position as director of sales for the American East Inn.

She received a written offer of employment on the first of the month, with the stipulation

that the offer would be in effect until the 15th of the month. If Ms. Hamilton were to

accept the offer, she would have to sign the employment contract and return it to the

American East Inn before the offer expires on the 15th. Upon reading the details of the

contract, Ms. Hamilton felt that the salary was too low, she adjusted it upward by $6,000,

initialing her change on the contract copy. She then returned the offer letter to the

general manager of the American East Inn with a cover letter, stating she was pleased to

accept the position as detailed in the attached contract. The contract arrived by mail on

the 14th of the month, at which time the general manager called Ms. Hamilton to express

his regret that she had rejected the employment offer. Ms. Hamilton realized that the

general manager would not accept her salary revision proposal, so instead she verbally

accepted the position at the original pay. The general manager, however, declined her

acceptance, stating that the original offer no longer existed.

What are the elements of an enforceable contract?

On what legal grounds may the general manager withdraw his original offer of Employment?

Explanation / Answer

The elements of an enforceable contracts are simple and are present in order to make the contract valid and justified in terms of the organization and business. The elements are:

1. Offer

2. Acceptance

3. Consideration

4. Capacity

5. Lawful Purpose

If we look at this case we will observe that almost all the elements are present and forwarded by both the stakeholders.

In this case the general manager may withdraw his original offer of employment if the Martha is not agreeing to any of the terms of the offer. Here she is not satisfied with the pay that has been mentioned and she forwarded a salary revision proposal to make the pay at least a bit convenient and acceptable according to her requirements. If the offer is not accepted within the stipulated and mentioned time frame, then the general manager can withdraw the offer and if there is any criminal record of Martha even then it is eligible for cancellation.

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