Randy,an Avid Hunter,wishes to Build a Hunting Cabin to Use

question 2

Essay

Randy,an avid hunter,wishes to build a hunting cabin to use with a companion during hunting season.He travelled around the area and found a farm that had an ideal piece of land.Randy telephoned the farmer and asked to meet him over coffee.Bob,the farmer,decided to sell Randy the lot for $3,000.Randy agreed,handing Bob $500 in cash as a deposit.When Randy arrived for hunting season,three months later having erected a cabin in the summer,he offered Bob another $1,000 toward the purchase price.However,Bob has decided that he no longer wishes to sell the land,and informs Randy he will have to tear down his building.Bob tells Randy that he can do this because they did not have a written agreement.
Apply the four criteria of the doctrine of part performance to the circumstances and explain their relevance to both Randy's arguments and Bob's defence.

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Definitions:

Product Price

The cost assigned to a good or service which reflects its value in the marketplace.

X-inefficiency

X-inefficiency occurs when a firm produces outputs at higher costs than is theoretically necessary, often due to a lack of competitive pressure.

Monopoly Firms

Companies that are the sole provider of a product or service in a market, having exclusive control over supply and market competition.

Profit Maximization

The process by which a firm determines the price and output level that returns the greatest profit, considering its cost structure and the market demand.