Baskin Robbins advertises in the LA Times and calls a number of companies, asking for "bids" on delivering 100 pounds a week of raw cookie dough to each of its stores in Los Angeles.  After a few rounds of tough negotiations, Baskin Robbins is still deciding between Cookie Heaven and another company, Dough-Dough, Inc.  Cookie Heaven's lawyer calls Baskin Robbins and says: "I'll take any price you want".  Baskin Robbins' CEO says "I know what your costs are.  We'll figure it out later.  You have a deal!", and hangs up the phone.

The very same day, Cookie Heaven's CEO calls Baskin Robbins' CEO with the news that they cannot fulfill the order unless they receive 10% more than the agreed upon fee, as Cookie Heaven miscalculated its labor costs.  Baskin Robbins' CEO says "let me think about it" and hangs up the phone.  The two sides did not have any further conversations after this date.

The next week, Cookie Heaven's trucks show up at a Baskin Robbins to complete the delivery of 100 pounds of raw cookie dough, only to find that Baskin Robbins does not want the shipment, and has already made a deal with Dough-Dough.  Cookie Heaven sues Baskin Robbins in California Superior Court for breach of contract.  What is the best argument that either party can make?

Answer rating: 100% (QA)

Cookie Heavens Best Argument Cookie Heaven can argue that a valid and enforceable contract was forme... View the full answer