Business Law and the Legal Environment 7th Edition by Jeffrey Beatty,Susan Samuelson

Exercise 15

Niels owned three adjoining parcels of land in Arizona. Hannah wanted to buy one. Over dinner, the two sketched and signed this agreement: "Binding Contract: Niels agrees to sell one of his three Arizona lots to Hannah. Within 14 days, the parties will meet on the land, decide which lot Hannah is buying, and settle on a price. If they cannot agree on a price, they will decide a fair method of doing so. Both parties agree to be bound by this contract." Later, Niels refused to sell any land, and Hannah sued. What will happen?