Business Law Case Study
Business Law
Case Study
In the case presented, Biff Smith, the Chief of Police of the local department ordered a set of bicycles off of a local storeowner, Dirk Right. This was no simple order though, in fact Biff intended on starting a bike patrol unit within the local department. Biff went to Dirks Bicycle shop to place an order. The order was for five mountain bikes to be used for patrol so they had to be custom made in order to sport the police decals. Biff was very familiar with the Schwinn bicycle company so he asked Dirk to order him five “top of the line” bikes at the “best price”. This simple statement implied that Biff not only wanted the bikes but he intended on paying for them as well. So soon after Dirk accepted the deal by saying, “you got it Biff”, there for creating an offer and acceptance situation. Biff would be considered the offeror because he was quoted to say, “Get me 5 top of the line Schwinn bikes, get me the best price you can” and Dirk was the offeree who accepted this offer by saying, “you got it Biff”. At this point there is only a simple interaction between the two parties, Dirk and Biff, there was never a written contract drawn up to be signed or documented so when the conflict arises there are many grey areas to be touched upon. The only document there is to work with is the letter from the PBA that Biff signed and noted, thanking dirk for the order of the bikes.
Price was never a factor brought into consideration but came to be the most important part of the entire case. After Dirk placed the order for the special bikes at Biffs request, the grand total came out to be $17,500. These “top of the line” bike cost $3,500 per bike due to the custom police decals and accessories needed in order to fulfill Biffs order. As Biff previously asked for the best price, Dirk did just that. Dirk was only charging Biff for the cost of the bike because he wanted to do something good for his community; he wasn’t trying to make any profit
Case Study
In the case presented, Biff Smith, the Chief of Police of the local department ordered a set of bicycles off of a local storeowner, Dirk Right. This was no simple order though, in fact Biff intended on starting a bike patrol unit within the local department. Biff went to Dirks Bicycle shop to place an order. The order was for five mountain bikes to be used for patrol so they had to be custom made in order to sport the police decals. Biff was very familiar with the Schwinn bicycle company so he asked Dirk to order him five “top of the line” bikes at the “best price”. This simple statement implied that Biff not only wanted the bikes but he intended on paying for them as well. So soon after Dirk accepted the deal by saying, “you got it Biff”, there for creating an offer and acceptance situation. Biff would be considered the offeror because he was quoted to say, “Get me 5 top of the line Schwinn bikes, get me the best price you can” and Dirk was the offeree who accepted this offer by saying, “you got it Biff”. At this point there is only a simple interaction between the two parties, Dirk and Biff, there was never a written contract drawn up to be signed or documented so when the conflict arises there are many grey areas to be touched upon. The only document there is to work with is the letter from the PBA that Biff signed and noted, thanking dirk for the order of the bikes.
Price was never a factor brought into consideration but came to be the most important part of the entire case. After Dirk placed the order for the special bikes at Biffs request, the grand total came out to be $17,500. These “top of the line” bike cost $3,500 per bike due to the custom police decals and accessories needed in order to fulfill Biffs order. As Biff previously asked for the best price, Dirk did just that. Dirk was only charging Biff for the cost of the bike because he wanted to do something good for his community; he wasn’t trying to make any profit