Legal Question in Business Law in United Arab Emirates

Ahmed advertises his 2011 MG car for sale for Rials 12,000. Khalid inspects the car and offers Ahmed Rials 10,000.

Ahmed tells Khalid that he appreciates the offer but others are coming to see the car. Khalid checks the MG again and points out to Ahmed that he has just seen the car has a dangerous fuel leak. Ahmed tells Khalid that he will immediately contact his mechanic to fix the leak which may take a few days and Ahmed will notify Khalid when the leak is fixed. The fuel leak is repaired three days later. Several other people see the repaired car but no offers are made to Ahmed. Five days after Khalid made his offer Ahmed phones Khalid and leaves a message on Khalid�s answering machine saying, �I am phoning to let you know that the car is fixed and I am accepting your offer of Rials 10,000 for the MG. We can arrange delivery when you call back.�

Two days later Khalid phones Ahmed and says, �Sorry we have been away and have just heard your phone message. We have decided we do not want your MG as we have decided to upgrade our kitchen.�

Task:

1. A critical discussion on whether Ahmed can enforce the contract with Khalid . Ensure that you analyze the case by applying the following elements of a contract.

� Possible types of contract applicable

� Essentials of an Offer (including the conditions for termination of an offer)

� Acceptance

� Consideration

� Capacity

� Breach of contract


Asked on 4/12/13, 7:32 am

1 Answer from Attorneys
Fca Prashant Chavan Expert Edge LLP

13.04.2013

Dear Sir / Madam,

Ahmed did not confirm Khalid's initial offer so there is no confirmation of the acceptance of the offer not making it binding on either party. Ahmed cannot enforce the contract since there is no offer primarily.

Regards,

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Answered on 4/13/13, 6:55 am


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