Business Law 5th Edition by David Twomey ,Marianne Jennings ,Stephanie Greene

Exercise 2

Charles Sanarwari retained Stan Gissel to prepare his income tax return for the year 2014. The parties agreed on a fee of $400. Charles had done a rough estimate based on last year's return and believed he would owe the IRS approximately $2,000. When Stan's work was completed, it turned out that Charles would receive a $2,321 tax refund. Charles paid for Stan's services and was so pleased with the work that he promised to pay Stan an additional $400 for the excellent job on the tax return when he received his tax refund. Thereafter, Charles had a falling out with Stan over a golf tournament snub. Stan was not paid the $400 promised for doing an excellent job on the tax return, and he sued Charles as a matter of principle. Decide.