This is a legal question A and B orally agreed on the sale of some “items” for $

Question

This is a legal question

A and B orally agreed on the sale of some “items” for $800. A immediately sent B a letter spelling out the agreed terms, which B received the next day. B called A and explained that A’s letter misstated the terms and that B no longer wanted the “items.” A sued B for breach of contract a month after the phone call. (1) What result should occur and why? (2) What difference would there be if B had sent a letter objecting to A’s terms and spelled out his understanding of the terms, A received it but A didn’t’ respond and B sued A based on B’s terms?

Explanation / Answer

B cannot be sued for breach of contract as there was no formal agreement between A and B. There was just an oral agreement swhich cannot be proved. A party can be sued based on verbal agreement only if the other party fully performs their part of the agreement. Here there is no exchange of services neither any of the them has been benefited by the contract.

As A recieved the letter having the objections of B he is liable to respond to the letter as there was a written documentation of both the stated terms and objectifying terms. As A didnot respond to B's letter he can be sued by A based on his terms.

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