Slope City Ski Resort Contract

Today, many businesses would not have been able to work efficiently without forming an enforceable contract. Generally speaking, a contract is an exchange of promises between individuals. When intending to create a contract, it is significant for both of the parties to recognize when they have entered one, in order to avoid the consequences. Each side of the parties must have a “meeting of minds,” meaning a mutual assent; their needs to be an offer and an agreement to have a legit contract. Also, a consideration is another great factor that makes a contract legally enforceable. Consideration is when something can be bargained for by the parties, in other words both of the parties must benefit from something. Now that a contract is legally …show more content…
It brings employment to residents, it attracts tourists, and it is a source of civic pride because it is run by a local company. Slope City Ski resort leases the land from an international company, called Acme. The lease is a 20 year lease and can be renewed before it expires by delivering a notice of renewal to Acme by January 1. Unfortunately, the person in charge for Slope City forgot to send in the notice of renewal until January 10. Slope City Ski Resort sends in its initial rent check for the new term of the lease that is cashed by Acme. However, Acme quickly realizes on to the fact that Slope City forgot to renew the lease and uses the situation as an opportunity to try to evict Slope City from the mountain. Acme brings a lawsuit against Slope City for breach of the contract. But Slope City says that there was an oral agreement between the two parties. The agreement says that that it would be ok if they missed a payment by 20 …show more content…
To begin with, a lease is a legal binding contract that governs the relationship between the parties and can be used if a dispute arises. It is important for both of the parties to be sure that they understand and are comfortable with what they are signing. The clauses should be clear and must be read carefully. Since the lease was not renewed within the proper time, Acme does have the right to negotiate against Slope City Ski Resort. In fact, Acme did bring a lawsuit against Slope City for breach of contract. Acme claims that the contract “says what it says.” This means that the judge will rule in favor of Acme because the term of the contract was clearly expressed. Moreover, in order for Acme to claim a breach of contract, they must verify if their contract would be valid for a court, a material breach of contract should occur, and there must be damages as a result of the