Question

Peter Andrus owned an apartment building that he had insured under a fire insurance policy sold b... Peter Andrus owned an apartment building that he had insured under a fire insurance policy sold by J.C. Durick Insurance (Durick). Two months prior to the expiration of the policy, Durick notified Andrus that the building should be insured for $48,000 (or 80 percent of the building’s value), as required by the insurance company. Andrus replied that (1) he wanted insurance to match the amount of the outstanding mortgage on the building (i.e., $24,000) and (2) if Durick could not sell this insurance, he would go elsewhere. Durick sent a new insurance policy in the face amount of $48,000 with the notation that the policy was automatically accepted unless Andrus notified him to the contrary. Andrus did not reply. However, he did not pay the premiums on the policy. Durick sued Andrus to recover these premiums.

Who wins?

Answer 1

There is no contract since Andrew's amendment was not included in the terms of the contract. Since there was no brain meeting, the contract of the Durick formed a counter offer, which the respondent had never accepted.

The court further said that the silence on the defendant did not accept because the plaintiff can not force the defendant to speak or silence because the defendant had no duty to speak. The court further concluded that there was no implied contract in the form of the distribution of valuable service for a valuable service for any action on the implied contract.

Andrus wins