Promissory Estoppel and the Statute of Frauds

Architectural Metal Systems, Inc. v. Consolidated Systems, Inc.,
58 F.3d 1227 No 94-3898 (7th Cir. July 5, 1995)
Offer and Acceptance – Under the Illinois U.C.C., a price quotation that specifies the items to be sold, the quantity and price of each specified item, and the delivery terms is not hopelessly vague, as long as the remaining terms regarding warranty, excuses, remedies and the like can be inferred from trade usage. Promissory Estoppel and the Statute of Frauds – Under the Illinois U.C.C., while the statute of frauds is applicable to a claim of promissory estoppel, if the alleged promise is a price quotation and such term is in writing, the statute of frauds is not a bar to the claim. Discrepancy in Bids Does Not Create Presumption of Mistake – a bid that is more than 50% lower than another bid does not, as a matter of law place the buyer on notice that the low bid contains a mistake.Continue Reading US Court of Appeals for Seventh Circuit Holds Gross Discrepancy in Bid Price Not Sufficient to Relieve Vendor of Obligation to Subcontractor