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In: Accounting

Hello, I need to use Irac method to answer this case using contract terms Mustafa decides...

Hello, I need to use Irac method to answer this case using contract terms Mustafa decides he wants to encourage his son Karim to stop playing video games. Mustafa offers to give Karim a car if he “stops spending too much of his time playing on his Xbox over the next month”. They sign a written contract confirming this arrangement with the exact language above. Karim stops playing video games for three weeks. Mustafa tells Karim that the car is actually a vintage Mustang worth a significant amount of money and in great condition. One week later, Karim seeks to enforce the contract for his Mustang. Mustafa reveals that the car is actually a 1996 Toyota Corolla worth about $700. Karim demands a Mustang under the contract. Advise Mustafa.

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Expert Solution

Issue: Mustafa made an offer that he will give his son Karim a car if he stops playing video games for a month. But he did not specify the make or year of the car. Karim accepted by abstaining from playing video games for three weeks. Thereafter, Mustafa divulges that the car he had promised was a vintage Mustang. When Karim seeks to enforce the contract a week later, Mustafa reveals that the car is actually a 1996 Toyota Corolla.Karim demands a Mustang.

Rule: A contract is an agreement enforceable by law. An agreement is an accepted offer. An agreement to be enforceable must be supported by consideration, the parties to the contract must have the capacity to enter into a valid contract, the consent of the parties to the contract should be free, and the object of the contract should be lawful. Further, if the terms of the contract are uncertain or ambiguous, the agreement is void, and the contract is not enfocreable.

Application: There is an express offer by Mustafa, and there is implied acceptance of the offer by Karim, since he stopped playing video games for three weeks. So there is an agreement. But the agreement is vague and ambiguous because the specifics of the car are not mentioned. Therefore, the agreement is void, and the contract is not enforceable. Karim's age is not mentioned in the given situation. It is assumed that he is not a minor.

Conclusion: Karim would not be able to enforce the contract in a court of law, since it is void.


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