On March 5, 2009, Andy, a local MP3 supplier, calls Betty, a local electronics chain retailer, offering to supply her with 1000 red IPODS, 1000 black IPODS, 1000 white IPODS and 1000 green IPODS at $ 200 per IPOD which Betty agrees to. After hanging up the phone, Andy immediately prepares the following dated and signed note:

Question

On March 5, 2009, Andy, a local MP3 supplier, calls Betty, a local electronics chain retailer, offering to supply her with 1000 red IPODS, 1000 black IPODS, 1000 white IPODS and 1000 green IPODS at $ 200 per IPOD which Betty agrees to.  After hanging up the phone, Andy immediately prepares the following dated and signed note:
“ This to confirm your purchase of 100 red, 100 black, 100 white and 100 green IPODS at     $ 250 per IPOD.  Signed, Andy Fine, SOUNDEX MP3 Supplies, INC.  March 5, 2009”.
On March 20th, 2009, Betty sends a fax to Andy rejecting his note and cancelling the entire agreement.  Andy become enraged and begins a two month attack on Betty’s electronic stores, sending out  false ads claiming that Betty’s products are defective.  As a result, Betty’s sales drop 20% the first month and another 30% the second month.  What are the rights of the parties with reasons?

Second part different question

…..Suppose that, in the case above Andy offers these IPODS to Betty as described in the first paragraph only but in a signed, written offer.  Suppose that Andy adds that the offer will be open until July 5, 2009.  Pretend that this offer also includes an offer to repair any IPODS which become defective within a year of sale for free.  Also pretend that the offer includes the following:  “ Acceptance on the green IPODS will only be valid when received and no changes will be allowed on the black IPODS.”