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Brian McDonald spent his time away from work on his hobby, model trains. His train set was large and consisted of rare and one-of-a-kind trains. One day, while visiting with fellow train hobbyist Harry, Brian said, “When I retire in 2 years from Foodmart, I’m going to sell my trains and spend the rest of my life traveling on real trains.” Brian told Harry that he was the only person he planned to offer his trains to, because he knew Harry would take care of them. Harry said he looked forward to the day when he could buy the trains. Harry spent the next 2 years and most of his savings building a new 2,000-square foot room onto his house to make room for the trains. When Harry told Brian he was building the new room, Brian just smiled. Brian also heard that Harry borrowed money from his aunt to buy the trains. When Brian retired, he sold his trains to his neighbor, James. Harry sued Brian, claiming breach of contract. Who wins? Explain your answer.


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Decision on Business Case

On the basis of the case discussed, the claims made by Harry on Brian for breach of contract are just meaningless. According to contract law of USA, five elements are required for a valid contract between the two parties. First of all, each agreement must be in writing, but there was no such agreement made between Brian and Harry. It could be said that there was not any kind of contract between the two. In addition to this, a contract also requires an offer, acceptance and consideration (Rau, 2012). Yet, in relation to this case, there was nothing like that. Brian has made the …

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