Message: Sammy decided she was ready to sell her classic sports car. On May 1 and in the following order, she telephoned Bob, Carl, Dan, and Edna, each of whom had earlier expressed interest in buying the car. She was unable to make actual contact with any of them, so she left the following message on each one's telephone answering machine: "I'm ready to sell my car, which I know you've expressed interest in. The price is $10,000. My offer is good until the end of today, May 1. If you're still interested, call me back by the end of today so I'll know for sure." Bob, Carl, and Dan each called back at a time when Sammy was out running errands. They each left a message on Sammy's telephone answering machine. Bob's message said, "The price is pretty high, so I'll have to think about it." Carl's message said, "I think the price is too high, but I'd be willing to pay you $9,000." Dan's message said, "OK, I'll pay your price but only if you'll let me take the car to my mechanic so he can check it out first." Edna, rather than call Sammy back, mailed Sammy a letter on May 1 stating, "I got your message, and I accept your offer and will pay $10,000." On May 2, Sammy died. Doug was appointed as executor for Sammy's estate, and as such had all powers to deal with the estate property. Bob, Carl, Dan, and Edna each said to Doug, "I accepted Sammy's offer on May 1, and, in any event, I will buy the car as is and for Sammy's asking price." Doug tells them each that their so-called acceptances were not valid and that their power of acceptance has already terminated. Is Doug correct? Explain fully in an IRAC outline answer. An example is attached with the assignment, please go through that. This is an example of a proper IRAC Law brief Third Party Rights and Obligations Assignment of Rights and Delegation of Duties Samuel v. Marcus Preliminary Negotiations Preliminary negotiations are communications between the parties that do not equate to the necessary present contractual intent and are essentially an inquiry or an invitation to deal. Marcus, a corporate CEO in Canada, contacted Samuel to secure a condo in Hawaii, for July 1,2,3, 4 and 5th for his corporate annual meeting. Marcus wants to have the party in the condo and was advised that for the specific dates he is requesting, there is only a 5 bedroom home available at $2,000 per day instead of the condo which was a rate of $1,000 per day. Samuel said he only needed one bedroom and Samuel replied "That would be O. K. Since we want to do everything possible to satisfy you since you have been such a good customer, we'll let you have the house under the condition that you are using only one bedroom. We can honor a special price for $1,500 per day Thus a preliminary negotiation existed. Offer An offer is an outward manifestation of present contractual intent, with definite and certain terms that is communicated to the offeree. Marcus asked for Samuel to provide a Condo to rent July 1-5th in Hawaii Samuel responded with an offer of a 5 bedroom house for $2000 a day Marcus counter-offered with "I only need one bedroom not five. Samuel agreed to rent the five bedroom home, if Marcus only used one bedroom the price would be $1500 a night. Therefore, there was a valid offer. Acceptance An acceptance is an unequivocal assent to the terms of the offer. Marcus negotiated the deal with Samuel and he accepted the offer. The offer was not made to Thomas nor did Thomas accept an offer. Assignment of Rights An assignment is a transfer of a right to performance to a third party. The transfer extinguishes the transferor's right to receive performance in whole or in part and gives that right to receive performance to the third-party transferee. In late March Marcus took a new job and was unable to attend the meeting. He offered the house to his friend, Thomas, Thomas accepted. Marcus told Thomas: "It's $1,500 a day. After your stay, tell Samuel to send you the bill." Therefore, there was an Assignment of Rights Delegation of Duties The Delegation of Duties refers to the transfer of the obligations of a contract. For instance, where the contract requires you to perform some duty, and you want someone else to perform instead. In contrast to assignment, delegation is the appointment by one person of another to perform either a duty or a condition to the other party's performance. A duty to perform arises if a delegate assumes an obligation. An assumption is simply an agreement to take on a delegated duty. If a delegate assumes a duty, it is primarily liable for performance. March Marcus offered the house to his friend, Thomas, who has always wanted to take a vacation to Hawaii. Thomas accepted. Marcus told Thomas: "It's $1,500 a day. After your stay, tell Samuel to send you the bill." Marcus neglected to tell Thomas about the condition that he could only use one bedroom. Since Thomas did not know about the clause using only one bedroom, he was not obligated to perform that duty. Therefore Thomas did not assume an obligation to perform A Delegate's Obligation to Perform a Delegated Duty A delegating party remains liable for the duty delegated. If this were not the case, the delegating party could delegate the duty to a party who did not have the means (financial or otherwise) to perform the duty. The non-delegating party would then be faced with a delegate who could not perform. Marcus contracted Samuel for the rental of the property for $1500 per day for 5 days, for the use of one bedroom. The contract stated $2000 a day for the whole house. When Thomas accepted terms to use the house for $1500 for five days he was not told by Marcus he could only use one bedroom therefore he was not obligated to perform the duty. Therefore Marcus as the delegating party remains liable for the duty delegated is obligated for the rent. Damages Therefore damages will be owed by Marcus. Samuel v Thomas Assignment of Rights Defined supra Acceptance Defined supra Marcus negotiated the deal with Samuel and he accepted the offer. The offer was not made to Thomas nor did Thomas accept an offer. In late March Marcus took a new job and was unable to attend the meeting. He offered the house to his friend, Thomas, Thomas accepted. Marcus told Thomas: "It's $1,500 a day. After your stay, tell Samuel to send you the bill." Therefore, there was an Assignment of Rights Delegation Of Duties Defined supra March Marcus offered the house to his friend, Thomas, who has always wanted to take a vacation to Hawaii. Thomas accepted. Marcus told Thomas: "It's $1,500 a day. After your stay, tell Samuel to send you the bill." Marcus neglected to tell Thomas about the condition that he could only use one bedroom. Since Thomas did not know about the clause using only one bedroom, he was not obligated to perform that duty.