Legal Contract Name Institution Professor Course Date A legal contract is a formal agreement between two or more parties which is dictated by specific terms and conditions (Beatty et al 2016). In the event of legal contract there exist promises to carry out something in return of a consideration which as a valuable benefits (Beatty et al 2016). In addition for a contract to be termed as legal it has to meet some elements which include; offer acceptance consideration obligation maturity capacity and competency as well as writing requirement (Beatty et al 2016). According to Beatty et al (2016) the initial element is the offer which involves making of promises. For instance like in the case of Jim and Laura there was an offer. The offer existed when they gave out the refundable deposit of $ 100. This is a sign of commitment as well as willingness to bargain. whether the two chose to drop the purchase or were to proceed with buying the car. Jim and Laura on their way home from the local car dealership decided that they were not going to buy the car and on coming back to request for their $100 back they were shocked and angry that the Stan salesman was saying he could not refund. These seems strange news to them something they dint have a clue about. This just highlights how the two don’t understand if they were in a contract with the local dealership. A legal contract should have that aspect of understanding by both parting entering into it (Gennaioli et al 2015). References Beatty J. F. Samuelson S. S. &amp; Sanchez Abril P. (2016).Introduction to Business Law Fifth Edition. Boston Massachussetts: Cengage Learning. Gennaioli N. Ponzetto G. A. &Perotti E. (2015).Legal Evolution Contract Evolution and Standardization.Working paper Bocconi University.http://legal-dictionary.thefreedictionary.com/Elements+of+a+Contracthttps://contracts.uslegal.com/elements-of-a-contract/competency-and-capacity/ [...]
See Chapters 10-14 of the text to help understand some of the legal issues covered in this assignment. Jim and Laura Buyer visit the local car dealership because they are interested in buying a new car. The car they currently have is aging and is starting to have mechanical problems. Jim and Laura would share the new car, and use it to go back and forth to work and school. Before going to the dealership, Jim and Laura decide that they can only afford $400.00 a month in car payments. Once at the car dealership, Jim and Laura meet Stan Salesman. Stan shows them several vehicles and Jim and Laura test-drive several of the cars. Jim and Laura particularly like the blue 4-door sedan. Therefore, they agree to give Stan Salesman a $100.00 deposit to hold the car for a day. Stan Salesman does not give them the receipt but guarantees that the $100.00 is refundable. No documents were signed. The next day, Stan Salesman calls Jim and Laura to ask them when they would like to take delivery of the car. Jim and Laura, on the way home from the dealership, decided that they were not going to buy the car because they did not want to spend that money each month. Therefore, Jim and Laura tell Stan salesman that they have decided not to buy the car and request their $100.00 deposit back. Stan insists that the $100.00 was a deposit on the car and was meant to be part of the contract to buy the car. Stan is very persistent and insistent that Jim and Laura have contracted to buy the car; therefore, the $100.00 will be applied to the purchase price of the car. Jim and Laura are shocked and angry as not only do they not want to spend the money, but now feel as though they are being duped by Stan Salesman. Jim and Laura have an appointment to see a lawyer in a few days, but know you are a student taking a business law class and come to you for advice. They are very frazzled, and understandably upset that they may have just purchased a car. Since you have been taking business law, you have read and understand the elements of a contract and the defenses to a contract. Therefore, although you are not a lawyer, you provide some basic advice from what you’ve learned in your business law class. In three to five (3-5) pages, advise Jim and Laura based on the above facts as presented, the material provided in the text, and material covered in the lecture. In your paper, be sure to address the following: 1.Define the elements of a legal contract using examples from the scenario where applicable. 2.Decide whether or not there was a contract for the purchase of the automobile. 3.Identify the facts from the scenario which support your decision on whether or not a contract exists for the purchase of the automobile. 4.Use at least two (2) quality academic resources in this assignment. Note: Wikipedia and other Websites do not qualify as quality academic resources. 5.Format your assignment according to the following formatting requirements: ◦Typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides. ◦Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page is not included in the required page length. ◦Include a reference page. Citations and references must follow APA format. The reference page is not included in the required page length. Book: Beatty, J. F., Samuelson, S. S., & Sanchez Abril, P. (2016). Introduction to Business Law, Fifth Edition. Boston, Massachussetts: Cengage Learning.