Question

Hymie Hendrix owned Meadowlands a sixty-acre tract, located just outside West Grove in Oxford County. Meadowlands included d family home which was a restored antebellum mansion complete with tennis court, stables and a small carriage-house. Hendrix rented the carriage-house to Janis Jopland for $250 per month in accordance with a month-to-month agreement. On September 3, Hendrix mailed the following letter to Jopland:

"September 2

Dear Ms. Jopland'

In consideration one dollar, receipt of which is acknowledged, I hereby give you an option for 20

days from the above date to sign a two-year lease at per month. provided you pay two months’ rent in advance.

Hymie Hendrix.

Janis received Hymie's letter of September 4, but did not read it until I September 5. On September 13! Janis met with Carla an adjoining landowner, and inquired about renting a cottage on her property. No agreement was reached between Janis and Carla. On September 18, however, Hendrix was informed by Greta Gossip that Janis was interested in renting a cottage

from Carla Cass. On September 23, Janis telephoned Hymie and said, “I want to give you the $450 and sign the two-year lease as soon as possible." Hymie replied, “Get stuffed, I heard about your conversation with Cass.” Hymie then abruptly hung up the telephone. On the morning of September 25, Janis went to Hendrix's home and told him that she wanted to accept his offer and sign the two-year lease. Hymie responded, "The option's expired, Moreover, I want you to vacate the carriage-house immediately." At no time after receiving Hymie's letter on September 4 did Janis pay him the one-dollar consideration.

Q: Assume for the purposes of this question only that Hendrix’s letter created in Jopland a valid power of acceptance. Was that power terminated by lapse of time before Jopland came to Hendrix's home on September 25?

Q: Assume for the purposes of this question only that Hendrix's letter expressly gave Jopland an option until September 26; but Jopland's statement on September 23 “I want to give you the $450 and sign the two-year lease," did not constitute a valid acceptance. Consequently, when Hendrix

told Jopland, "Get stuffed…," was Jopland’s power acceptance thereby terminated?

Answer 1

Q: "Assume for the purposes of this question only that Hendrix’s letter created in Jopland a valid power of acceptance. Was that power terminated by lapse of time before Jopland came to Hendrix's home on September 25?"

Ans:

The letter dated September 2 received on September 4 by Jopland indicated a valid offer and a desire by Hendrix to come to an agreement.

Yes, the power terminated by lapse of time before Jopland came to Hendrix home on September 25. As the agreement was valid for 20 days from September 2 i.e. until September 22. “I hereby give you an option for 20 days from the above date” as stated in the letter which was written on September 2.

Q: "Assume for the purposes of this question only that Hendrix's letter expressly gave Jopland an option until September 26; but Jopland's statement on September 23 “I want to give you the $450 and sign the two-year lease," did not constitute a valid acceptance. Consequently, when Hendrix

told Jopland, "Get stuffed…," was Jopland’s power acceptance thereby terminated?"

Ans:

Yes, the offer was revoked by Hendrix when he said: “get stuffed”. It is his power to revoke the offer.

Considering the offer was open till September 26. The offer was revoked by Hendrix on September 23 when he told Jopland to “get stuffed”. Further Jopland was offering $ 450 instead of $ 500. So Hendrix can also refuse the counteroffer. Section 35 of the offeree’s power of acceptance is terminated under section 36 which specifies the methods of termination of powers of acceptance 1 c “revocation by the offeror”