Simon, who lives in Forest Gate, East London, is selling his Jeep Grand Cherokee. He has placed
Question:
Simon, who lives in Forest Gate, East London, is selling his Jeep Grand Cherokee. He has placed an advertisement in the Newham Recorder on the 15th of August 2017. The advertisement includes the details of the car and mileage. It includes his home address, telephone number, and email. It also states the price of the car: £20,000. Stephen lives in Liverpool and on his way through London he has picked up a copy of the Newham Recorder. He sees the advertisement and he immediately calls Simon. Stephen says to Simon that he is willing to buy the car for £18,000. Simon is happy with this offer and decides he can accept this, but as Stephen lives far away, he says to Stephen that since such a large sum of money is involved he wants to receive a written statement from Stephen with this information. Stephen says he will get this to Simon as soon as possible. On the 18th of August Simon receives an email from Amy. Amy writes that she is willing to buy the car. Simon has not heard anything from Stephen yet so he does not want to say no to Amy. He writes back saying that for £19,000 (offer) the car is hers. Amy writes back stating that she is willing to pay £15,000(counter offer). Simon returns an email saying that he is not willing to sell for that money. Amy is disappointed but later that day she decides to buy the car anyway and writes an email saying she accepts the initial price Simon quoted and will buy the car for that money. That afternoon Simon receives a phone call from Madison who also expresses interest in the car. Simon gives Madison the same price as he gave to Amy. For £19,000 the car can be hers. Madison thanks him and says she will think about this and get back to Simon. Soon after hanging up Madison decides to go for it and sends a quick letter by post to Simon stating she will buy the car for that sum. On the same day, Simon is talking with his friend Barry. The car comes up in the discussion. Barry is looking for a car so he asks Simon whether he would be willing to sell to him. Simon says of course. Barry asks Simon what his best price is. Simon states that his best price is £18,000. Barry returns home to go over his finances. He then sends a fax to Simon stating that he will buy the car for that sum. As Simon's fax machine is broken he does not receive the fax. Stephen in the meantime is still very willing to buy the car. He has however forgotten to send a letter to Simon. He decides that instead of sending a statement in writing he will just take the money and go down to London himself and meet Simon there. He has Simon's address after all and then he can just take the car straightaway. On the 19th of August Simon checks his emails in the morning and sees Amy's email. Simon also realises his fax machine is broken. After he has fixed it, Barry's fax comes in. Later that morning Simon receives Madison's note through the post. And soon after that, Stephen shows up at his door with the money.
Please advise Simon, Stephen, Amy, Barry, and Madison of any contractual obligations they might have.
Fraud examination
ISBN: 978-0538470841
4th edition
Authors: Steve Albrecht, Chad Albrecht, Conan Albrecht, Mark zimbelma