CASE STUDY TWO

Yuxiang wanted to sell his expensive watch. He placed an advertisement online which read: “For Sale. Mongines solid silver handmade watch. Just $50,000. If you buy the watch, I will also give you a valuable 1946 Australian penny coin. Phone 042 132 148.”

Tiana saw the advertisement, rang Yuxiang and arranged to see the watch and the penny. After examining the items, Tiana said “I will pay you $45,000 for both.” 

Yuxiang replied, “I will take $47,500”.

Tiana replied “I will think about it. I will ring in three days with my answer”. As she left Tiana said to Yuxiang “Now don’t you sell it to anyone else before then” Yuxiang replied “Don’t worry, I won’t”

Shortly after Tiana left, yuxiang received a call from Nguyen, a keen coin collector, who had been looking for a 1946 Australian penny coin for years.

Nguyen said he would pay the asking price for both straight away. Nguyen went to yuxiang’s house with the $50,000, and Yuxiang sold the items to him.

The next day Tiana rang Yuxiang and told him she agreed to buy the items at $47,500. Yuxiang told her they were already sold. Tiana was furious.

Required:

Discuss the prospect of Tiana successfully suing Yuxiang under contract law. Use case references to support your answer.