Apply the 5 step analysis to each of the fact situations that you identify.
Right off the coast of neighboring New Hampshire is the very little known fishing area called St. Olaf's Hole, 185-215 miles off the coast. It has some of the best commercial cod fishing in the North Atlantic. Sebastian Winkin, owner of the lumber and pulp mill, Le Rive Gauche Moulin, Inc., in Moulin Noir-yes, there are lots of French Canadians there-was in desperate need of disposing of his mill's toxic wastes which were by-products of the production of paper towels, toilet paper, and tissues. He discussed his problem with his V. P. of mill operations, Pepe Le Plume de la St. Tante. He explained to Pepe that the mill might have to close without an effective waste disposal plan. Pepe, who had come up through the ranks, had a drink that night at the local bar (you know the one-Pru's occasional hang out). Our lumberjacks were there, and they heard him bemoaning the problem over his brandy. They too had had "a few". Together, with growing glee, they planned to transport the commercial wastes and dump them into the deep blue sea. Voila, full employment! Pepe promised them a contract for all the lumber they could cut and deliver within a year if they would get rid of the mill's wastes. They departed, but as they were driving out of the lot, Pepe ran to the door, having remembered his one college course, Business Law, and shouted in French, "Je revoque, je revoque". The gang was within hearing range, and one of them turned around and waved at Pepe.
Pepe went back into the bar and decided to have a bite to eat, and he ran into the (in)famous Prudence Whitaker. Pru had gone into the real estate business and was selling homes. Pepe felt maybe he'd better get liquid so he could leave town quickly if he needed to, and he decided to employ Pru as his real estate agent. They agree orally that Pru could have a commission of 5% of the selling price if he could see Pepe's condo. Pru decided to buy the condo herself because the asking price, $278,000, was a bargain, and Pru felt she could resell it later for much more. Pru told Pepe that she had a "very private" buyer, and they could close in an escrow and he could have his money immediately. He was very happy. So was Pru. Later, a friend tells Pepe that Pru bought his condo and that the sale price was far too low.
Jacques Le Boeuf, the gang's leader, planned to implement the deed with the wastes by buying a boat from Jonathan Blinkin (who had a profound facial tic). Le Boeuf promised him $3,000 plus enough old, prime, white oak to be cut and dried to build a replica of a 19th Century schooner. Johnny's oldest friend, best customer, and behind the scenes financier, however, was Jeremy Nod, the local fishing magnate. Johnny told Jeremy about this strange deal and what a great deal he'd gotten on the oak from the oafs. That got Nod athinkin', and he called his business buddy, S. Winkin (on whose company's board he sits), to inquire about what was going on. Winkin knows nothing. Nod invites him to come fishing with him the following Sunday and Winkin agrees.
In the meantime, the plot thickens (you may hear organ music in the background if you like.). Jacques' college educated son, Raymond (who is working on his Ph.D. in chemistry) learns of the deal, and he recognizes a commercially valuable use for the wastes. He switches the barrels while keeping their same weight and appearance and he agrees to sell them to the No-Name Extracting Co., Inc. for beaucoup bucks ($2,500,000) pursuant to an agreement scribbled on the back of an envelope and signed by the VP for sales for No-Name. The VP is ecstatic and exclaims, "Ray, you've made my day!". (It's a phrase inverted by their chairman, Mr. Westwood.) This agreement specifies the time, amount, delivery, future amount, future delivery times, and the names of the parties. Raymond plays tennis that afternoon and meets Louise Leyna who is the buying agent for the World-Wide Specialized Chemical Mega-Corp., Inc. She offers to double the price and he accepts. They sign a contract.
While these events are transpiring, Jacques and His gang, including their navigator, Jules Le Peche, take a long and leisurely trip out to St. Olaf's Hole on Saturday and dump the barrels. When fishing Sunday, there are no cod for the two business buddies. Suddenly, Nod puts it all together (he thinks), a storm comes up, and in the violent weather, Winkin falls overboard-never to be seen alive again. When his body is found on the beach, a brief limerick is found attached to it -
There once was a man named Nod
Who like to go fishing for codAlas for poor Winkin
He did fall and sink in
His contract was tortious, by God!