Author Question: Most business people prefer making oral contracts regarding matters of great importance. Indicate ... (Read 114 times)

jlmhmf · **on:** Jun 24, 2018

Most business people prefer making oral contracts regarding matters of great importance.
Indicate whether the statement is true or false

Question 2

John received a promotion at work and felt new clothes would be necessary in the new position. John went to a local store and charged three ties on his charge account at a cost of 60 each. Bill, a friend of John's, saw a sidewalk vendor selling ties at a cost of three for 10 and bought three at that price. The friends compared purchases that night and found that they had purchased identical ties. John became enraged and said that he would not pay the charge-account bill because the ties were clearly not worth 60 each. Bill indicated that he would testify on John's behalf if litigation ensued. What would be the probable outcome of the lawsuit?

Yixagurpuldink · **Reply #1 on:** Jun 24, 2018

Answer to Question 1

FALSE

Answer to Question 2

John will lose the case because John received three ties, the consideration for which he bargained. Courts generally do not get involved in determining the relative adequacy of the consideration exchanged.