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Theory Practice

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Chapter Six, pg. 155
The parties had a contract originally for 90 days, when BTT paid Chou $25,000, in exchange for exclusive negotiation rights. Within that agreement, there was no distribution contract unless it was in writing. Secondly, the parties had an oral agreement 3 days prior to the 90-day negotiation time period. However, the stipulation clearly stated that the agreement was to be written for a distribution contract.
The facts that may weigh in favor of Chou are that before the 90 day period ended, they came to an oral agreement, which led to the initiation of a written contract. However, what might count against Chou is the fact that there were never signatures or a final written signed contract.
Yes, communicating by email is legal and a very important part of businesses today. According to the Uniform Electronic Transaction Act, electronic documents and signatures are fine. Because both parties agreed upon terms via email, the law could enforce the contract.
The statute of frauds does not play a role. BTT and Chou had a services contract, there were no goods sold. Additionally, the contract for distribution never was signed,
BTT definitely could not really avoid this contract, due to the fact there was communication and offers on their part. Chou possibly cold avoid contract since there was no signature on the terms.
Chou would have a great benefit should BTT decide to distribute out the game, Strat. BTT would benefit as they’d pass on the distribution

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