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Case Analysis

Case Analysis

The following case presents two main issues that can be defined as follows: whether there is a contract, if any at all, between Ivan Petrov, representative for the Bulgarian Kashkaval Distribution Company (hereinafter: BKDC) and Guiseppe La Pasta, vice-president for the ItalCheese; and the consequent contractual relations between Ivan Petrov and Roumen.
The first issue that have be taken into account is whether a contract was formed, if at all, in the discussion held in an Italian restaurant between the two parties. 
For a contract to be made there must be present all of the four basic requirements of a contract, that is, agreement (consisting of an offer and acceptance), consideration, capacity and legality.
During the initial conversations between the firms both parties made offers and counteroffers, thus changing the offeror –offeree positions for several times but however no agreement was made because no clear-cut offer and acceptance resulted. Furthermore one of the basic components of the agreement was neglected- the definiteness of terms. Expressions, such as, “may be”, “might”, “a bit” cannot be accepted by a reasonable person to be unequivocal or clear enough so that the terms be considered definite. In contrast, the latter telegram received by BKDC may be

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