It is Monday. Homer agrees to buy a used car from Bart for $10,000 on Thursday, subject to Homer getting satisfactory financing. All of this is written in a contract signed by both parties. On Tuesday, Homer finds a better deal from Marge and decides he wants to get out of the contract he signed with Bart on Monday, so he decides just to avoid asking any banks for financing altogether, thus making sure that the subject clause cannot be fulfilled. On Thursday, he informs Bart that he doesn't have satisfactory financing, so he is not going to close the deal. Bart would have made $5,000 profit from the deal. Can he sue Homer for breach of contract?

Answer rating: 100% (QA)

Whether Bart can successfully sue Homer for breach of contract depends on how the courts in their jurisdiction interpret the satisfactory financing cl... View the full answer