Business Law Today 9th Edition by Roger LeRoy Miller,Gaylord Jentz

Exercise 1

In September, Sharyn agrees to work for Totem Productions, Inc., at $500 a week for a year beginning January 1. In October, Sharyn is offered $600 a week for the same work by Umber Shows, Ltd. When Sharyn tells Totem about the other offer, they tear up their contract and agree that Sharyn will be paid $575. Is the new contract binding? Explain.