Fact pattern 7-1
Prudence offered to sell her car to Danny for $3,000.Danny was not sure what to do,so he asked Prudence if she would hold the offer open for him for one week for $50.Prudence said sure.Meanwhile,the next day,Bobby offered Prudence $3,500 for the car,and Prudence sold it to him on the spot.When Danny came to pick up the car the next day,it was gone.Prudence gave Danny his $50 back and told him that was her only obligation and that if he had any complaints,he could take it up with Bobby.Danny found a similar car the next week for $3,500 and purchased it.
-Refer to fact pattern 7-1.Did Danny have any type of contract with Prudence,and if so what type?

Question

Quizplus · Accepted Answer

Danny had an option contract with Prudence, as he paid $50 to keep the offer open for one week. This created a legally binding option contract, which gave Danny the exclusive right to purchase the car at the agreed-upon price within the specified time frame. However, Prudence breached this contract by selling the car to Bobby before the option expired.

Fact Pattern 7-1 Prudence Offered to Sell Her Car to Danny for $3,000.Danny