Court of Appeal of California
276 P.2d 8 (1954)
Scolnick (defendant) placed an ad in the newspaper offering property for sale. Lonergran (plaintiff) inquired for further details, and Scolnick wrote Lonergran a letter describing the property, giving directions, and asking for a price. Scolnick wrote Lonergran a letter stating that he was not sure he had found the property, asking for a legal description, asking about certain physical characteristics, and suggesting a bank as an escrow agent should he decide to purchase. On April 8 Scolnick wrote a letter confirming that Lonergran had found the property and approved the bank as an escrow agent, but explaining that Lonergran had to act fast because Scolnick had another interested buyer. Scolnick sold the property to a third party on April 12. Lonergran received the April 8 letter on April 14 and wrote to Scolnick stating that he would proceed to deposit the asking price in escrow. When he learned the property had been sold, Lonergran filed suit, and judgment was granted to Scolnick on the basis that no contract had been formed. Lonergran appealed.
Rule of Law
Holding and Reasoning (Barnard, P.J.)
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