• Home
  • Southern New Hampshire University
  • Business Law I BUS206
  • Business Law I BUS206 - Contract Law

Business Law I BUS206 - Contract Law

BUS-206 Project Three: Contract Law BUS-206 Project Three: Contract Law Danielle Thibodeau Southern New Hampshire University BUS-206 Project Three: Contract Law When reviewing the case scenario between landlord Lou, The Friendly Dawg owned by Dave Dawg, and Sunshine Yoga owned by Jasmine we must analyze how the contractual relationship began between each party, as well as each party's potential rights, claims, obligations, defenses, and remedies to determine a resolution to the disagreements between the parties. Landlord Lou has a contract entered with Dave's father the original owner of The Friendly Dawg. For a contract to be valid it must contain four elements, the offer, an agreement. an acceptance, and a consideration. (Kubasek et al., 2020, p. 325) Upon analysis of the scenario the four elements of a valid contract appeared between Dave's father and Lou. The agreement and acceptance of the consideration of $500 per month rent to be paid on time in exchange for rental rights to the pet store location prior to renovations that Dave made. These terms of the contract were signed with no mention about the selling of live animals or providing future updates to the space. After the passing of Dave's father and Dave taking over business control of The Friendly Dawg, the original contract was no longer valid and voidable at the discretion of landlord Lou At that time both parties Dave Dawg and landlord Lou should have agreed to revise the terms of the contract which evidence of such contract is not present, nor a verbal agreement was established. However, as Lou decided not to terminate the lease this same contract or "implied contract" between The Friendly Dawg and landlord Lou remained by Dave paying rent on time and being a good tenant, and Lou who did not choose to terminate the rental agreement with The BUS-206 Project Three: Contract Law Friendly Dawg. Therefore, the potential rights of The Friendly Dawg are entitled to are the same terms of the original lease signed by Dave's father. The Friendly Dawg is entitled to maintenance and good property repair of the original property listed in the terms of the contract The Friendly Dawg is not entitled to maintenance and property repair for the additional expansion space as it was not an included area in the original contract. Dave's defense of withholding rent pending the addition of air-conditioning to the expanded space is not a valid argument as it was not made as an amendment to the current contract terms. The Friendly Dawg also did not have rights to renovations of the expanded space and had an obligation to seek approval of the expansion to the area from landlord Lou. Withholding rent and making unauthorized renovations to the property could lead to grounds for landlord Lou to evict Dave. As a remedy The Friendly Dawg should remit the withheld rent and seek a revised contract offering additional rent monthly in exchange for the addition to the air-conditioning being added to the expanded space, as well includ