Ann wrote a $500 check to Art as a deposit on Art's 240Z car.The memo section of the check read: "Deposit on 1978 240Z car of Art Mole.Sale price $4500." Art initialed the memo section.When Ann returned the next day with the remaining $4000,Art said,"Sorry,I sold the car for $4,000 cash yesterday and sent your check back." The cheapest 240Z Ann can find is $5200.What are Ann's rights? Discuss the following:
a.Was a contract formed?
b.Are there statute of frauds problems?
c.Could Ann collect damages? If so,what?

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The Answer of Ann wrote a $500 check to Art as a deposit on Art's 240Z car.The memo section of the check read: "Deposit on 1978 240Z car of Art Mole.Sale price $4500." Art initialed the memo section.When Ann returned the next day with the remaining $4000,Art said,"Sorry,I sold the car for $4,000 cash yesterday and sent your check back." The cheapest 240Z Ann can find is $5200.What are Ann's rights? Discuss the following:
a.Was a contract formed?
b.Are there statute of frauds problems?
c.Could Ann collect damages? If so,what?

Ann Wrote a $500 Check to Art as a Deposit