Question

Beau went shopping at ABC Carpet. He saw some carpet he liked but could not make up his mind. The manager at ABC Carpet wrote down the proposed purchase price for him along with a statement that the price would be good for three months. Two months later, Beau went back to ABC Carpet to purchase the carpet. Unfortunately, the price had gone up. Beau showed the manager his writing and guaranteed price, but the manager said that the offer was no longer good. Although he had to pay more than the ABC manager had initially promised, Beau proceeded to purchase his carpet from ABC Carpet, and he also contracted with ABC to do the installation. Unfortunately, Beau almost immediately started to have problems with the carpet. Beau told the sales manager of ABC Carpet that he was planning on bringing suit for breach of warranty. The sales manager, however, told him that the breach of warranty provisions only applied to sales of goods and that the carpet purchase was for installation, a service. Which of the following is true regarding the enforceability of the offer made by the manager at ABC Carpet?
1) ABC Carpet is not bound by the offer because Beau did not provide any consideration.
2) ABC Carpet is bound by the offer, but only for a period of seven days.
3) ABC Carpet is bound by the offer, but only for a period of ten days.
4) ABC Carpet is not bound by the offer because Beau did not provide any consideration and because such an offer is only good for a period of ten days.
5) ABC Carpet was bound by the offer, and Beau had the right to sue for its refusal to honor the agreement.

Answer 1

Answer:

4) ABC Carpet is not bound by the offer because Beau did not provide any consideration and because such an offer is only good for a period of ten days.

Explanation:

In the case above, the manager of the company wrote a note for the customer based on the price of goods and the validity of the price for a specific period was also stated. However, it was not stated that the company is liable for any damage that occurs during the installation of the goods. Thus, the correct answer is option 4.