R.G. Group, Inc. v. Bojangles' of America, Inc. illustrates the concept in American law that:

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R.G. Group, Inc. v. Bojangles' of America, Inc. stands as a lesson that contractual liability only becomes vested when the parties move beyond mere negotiations. This case clearly demonstrates that a significant amount of due diligence is required before a party relies on communications regarding a business relationship. Simply put, proposals and negotiations are not binding, and formal agreements are required before liability exists.

RG Group, Inc