La Salle National Bank v Vega (1988) pp284-286

Facts: Mel Vega entered into a transaction with Buyer 1, La Salle Bank, to sell his property. Vega also entered into a contract with Buyer 2, Borg. The real estate contract prepared by La Salle’s agent Ruekberg said that the La Salle is purchasing the property on the behalf of Trust 10952. La Salle Bank is the trustee for Trust 19052, making Ruekberg an agent of the trustee. Ruekberg prepared the document and signed it and Vega subsequently signed the document. However, the document stipulated that it had to go back to the trust for signature. Therefore, the trustee did not confer the ultimate power of acceptance to Vega. La Salle is seeking specific performance of the contract, and if that it isn’t available, damages. Buyer 2 intervened and filed a claim to ask for specific performance of his purported contract and a declaration that the contract between Vega and La Salle was not valid. Issue: Could the contract be formed without execution of the document by the trust? - No. Reasoning: The contract’s language (especially, “upon the trust’s execution, this contract will be in full force”), makes it apparent that the document was not a contract; when the language of an offer governs the mode of acceptance required, ad an offer requires written acceptance, no other mode may be used · The document was an offer because Vega conferred the power of acceptance to the trustee. And since the trustee did not sign it, we don’t have a valid contract RULE: offer If someone does not have the power to ultimately accept, it is not an

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