Question

Onsite Restoration Inc. begins renovating houses for Property Company under a contract for a stated amount per house. After six months, Onsite demands an extra $20,000 per house, stating no reason for the extra $20,000, but asserting that it will stop work if it is not paid. The agreement is ___________.

Answer 1

Answer:

A Binding Contract

Explanation:

Binding contracts are legal agreements between two or more parties, which are enforceable by law. They may not always be in writing. Sometimes, verbal statements can be legally construed as an offer or contract, even when the party never intended it as such.

Therefore although Onsite Restoration may not have intended to continue after 6 months at the agreed upon price, the contract with Property company is binding and Onsite can be sued if work is stopped