Top Law Schools

Jimbo owns an antique Mega Speedster. Sally runs a specialty antique auto dealership. Jimbo gives Sally the exclusive right to sell his antique Mega Speedster for 90 days. If she does she receives a 5% commission. They sign a sufficient contract. 15 days after signing the contract, Sally learns that Jimbo has sold the Mega Speedster through Wanda's antique auto dealership.

Edit: Sally also went to some car shows trying to find a buyer and ran several ads in the local newspaper at her own expense.

What sort of contract is this? I'm at a loss as to how to discuss a question like this. Damages aren't important/applicable since I'm a 1L and we're going to cover that next semester. How should I tackle this?

Outputs. Bloor v. Falstaff

crit_racer wrote:Outputs. Bloor v. Falstaff

This is not an outputs contract, and if I recall correctly, Bloor v. Falstaff wasn't either.

OP, I'm not sure what you are asking, if you aren't asking about the appropriate remedy. It is an enforceable contract, if that's what you're after. In exchange for Sally's diligent efforts to sell the car, Jimbo promised her exclusivity and a 5% commission. He breached, she's entitled to the benefit of the bargain, or her 5% commission.

.

yale2011 wrote:Somewhat analogous to Wood v. Lucy, Lady Duff-Gordon (mutuality of obligation). The information about finding a buyer and running ads sounds like a brief discussion of unilateral contracts may be in order (this contract is better analyzed as a bilateral contract with Sally impliedly promising to make best efforts to sell the car).

This. Implied obligation of good faith