Question

Julia Pitt runs a boutique that specializes in luggage and travel items. Julia contacts Tumi Luggage about carrying its line of messenger satchels. The Tumi representative tells Julia that Tumi would be happy to sell her 100 Tumi Black Messenger bags for $318 each. Julia is happy with the price and asks Tumi to send the bags. The Tumi representative then faxes a confirmation of the shipment of the 100 bags at $318 each. Julia receives the fax. When the bags arrive, Julia contacts Tumi and says there is a business downturn and that she does not want the bags and that there was no contract anyway.
a. Julia is correct; the contract requires some type of authentication from Julia to be enforceable.
b. Julia is correct; the contract required more than a fax to have a sufficient record.
c. Julia is incorrect; she and Tumi have a valid and enforceable contract.
d. both a and b

Answer 1

Answer:

c. Julia is incorrect; she and Tumi have a valid and enforceable contract.

Explanation:

A contract is not only enforceable through a written argument. Any word of mouth to which both the parties agree in their due consciousness, is legally enforceable.

Here, Tumi asks Julia to accept the offer of selling bags to her at $318 each. And that Julia replies with ayes to it. After receiving the bags, she cannot say that she is not interest, And there is no legal contract.

Accordingly Julia is not correct, there is a contract binding her to accept the bags and make payment.