Question

, a doctor from the local hospital, is a friend of Fran, the owner of a candy store. Every day, Ed spends about five minutes in Fran’s candy store during his breaks, looking at the candy and usually buying one or two candy bars. One afternoon Ed goes into Fran’s store, looks at the candy and picks up a $1 candy bar. Fran is busy talking and checking out another customer so to avoid interrupting, Ed merely waves the candy bar at Fran without saying a word as he is walking toward the door. Fran smiles but keeps talking to the customer as Ed walks out. Based upon the information given, as well as making your own assumptions...do Ed and Fran have a contract? If so, what type of contract is it? Is it enforceable? Why or why not.

Answer 1

Answer:

- Yes,

- Bilateral, Implied contract which is enforceable.

Explanation:

Note, both parties consented to a contract even though it was an informal setting. Remember, certain gestures were used by Ed to show contract acceptance, There's also valid consideration since the value of the exchange is known; which is a candy bar for $1.

Fran thus understands that Ed will pay for the candy later since he saw the sign, this also makes it a bilateral contract (between two parties only). The contract is also enforceable since it is legal to sell candies.