Big Time Toymaker

Emily Kern
Eric Nord
February 9, 2015
Law/421

Big Time Toymaker

Introduction
Contracts can be made either verbally or written down. Contracts are important
for individuals and businesses to help protect themselves in case of a dispute. (Melvin, 2011). In
this paper we will discuss the company Big Time Toymaker and Chou and the reasons why it is
important to have something in written or verbally agreement.
Contract
Big Time Toymaker was interested in including Strat with Chou, and Big Time Toymaker
made an agreement with Chou paying him $25,000 in distribution of a 90 day exclusive
negotiation rights. However the exclusive rights had to be signed in order for the contract to
exist.
Agreements
Big Time Toymaker and Chou had made a 90-day agreement which was exclusive
negotiation rights. The agreement needed to be in writing in order for the agreement to be
effective. Three days before the agreement was up Chou and Big Time Toymaker had come to an
agreement orally at a meeting, and Chou was going to agree with contract when he received a
draft email stating the price, time frames, etc. but lacked to state contract.
Conclusion
In conclusion, Chou and Big Time Toymaker made three agreements together. They first
worked out a 90-day exclusive right, had come to an oral agreement, and an email was sent on

behalf of Big Time Toymaker regarding the pricing and time frame which could be considered a
written agreement between Chou and Big Time Toymaker.

References:
Chapter 6: Overview and Formation of Contracts; Sean P. Melvin; McGraw-Hill
Company (2011)