CASE SCENARIO: Touchstone 2: Did Jim and Laura Buy a Car? Overview What Y ou Will Learn: Y ou will apply your understanding of the core elements of a legally binding contract by analyzing a real-world business scenario involving a potential car
9/30/26, 8:29 PMTOUCHSTONE 2: Did Jim and Laura Buy a Car? | Business Law | Sophia Learning
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Touchstone 2: Did Jim and Laura Buy a Car?
Overview
What Y ou Will Learn: Y ou will apply your understanding of the core elements of a legally
binding contract by analyzing a real-world business scenario involving a potential car
purchase.
Why It Matters: Understanding how contracts are formed and how to determine whether
one exists is essential in both business and personal decision-making. By identifying and
applying the relevant legal principles, you’ll strengthen your legal reasoning skills and build
a foundation for handling similar situations in the future.
What Y ou Will Hand In: A 750-1000 word paper analyzing Jim and Laura’s case, saved as a
Microsoft Word document (.doc or .docx)
Keys to Success:
Clearly define the elements of a valid contract, using examples
Make a clear and well-defended decision about whether a contract was formed
Use facts from the scenario and two high-quality academic sources to support
your judgment
Include APA in-text citations and a reference page
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When you’re ready toupload your document, clickhere. SUBMIT TOUCHSTONE
Touchstones are currently being graded within 2-4 business days.
UNIT 2 — TOUCHSTONE 2: Did Jimand Laura Buy a Car? -/150
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Instructions
Step 1: Review the Scenario
Jim and Laura Buyer visit a local car dealership because they are interested in buying a
new car. The car they currently have is aging and is starting to have mechanical
problems. Jim and Laura would share the new car and use it to go back and forth to
work and school. Before going to the dealership, Jim and Laura decide that they can
only afford $400.00 a month in car payments.
Once at the car dealership, Jim and Laura meet Stan Salesman. Stan shows them
several vehicles and Jim and Laura test-drive several of the cars. Jim and Laura
particularly like the blue 4-door sedan. Therefore, they agree to give Stan Salesman a
$100.00 deposit to hold the car for a day. Stan Salesman does not give them the receipt
but guarantees that the $100.00 is refundable. No documents were signed.
The next day, Stan Salesman calls Jim and Laura to ask them when they would like to
take delivery of the car. Jim and Laura, on the way home from the dealership, decided
that they were not going to buy the car because they did not want to spend that money
each month. Therefore, Jim and Laura tell Stan Salesman that they have decided not to
buy the car and request their $100.00 deposit back.
Stan insists that the $100.00 was a deposit on the car and was meant to be part of the
9/30/26, 8:29 PMTOUCHSTONE 2: Did Jim and Laura Buy a Car? | Business Law | Sophia Learning
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contract to buy the car. Stan is very persistent and insistent that Jim and Laura have
contracted to buy the car; therefore, the $100.00 will be applied to the purchase price
of the car. Jim and Laura are shocked and angry as not only do they not want to spend
the money, but now feel as though they are being duped by Stan Salesman.
Jim and Laura have an appointment to see a lawyer in a few days, but know you are a
student taking a business law class and come to you for advice. They are very frazzled,
and understandably upset that they may have just purchased a car. Since you have
been taking business law, you have read and understand the elements of a contract
and the defenses to a contract. Therefore, although you are not a lawyer, you provide
some basic advice from what you’ve learned in your business law class.
Step 2: Write the Touchstone
Write a 750-1000 word paper in which you analyze the situation and answer the central legal
question: Did Jim and Laura enter into a valid contract to buy the car?
Y our paper should include the following components:
. Contract Definition: Identify and define the elements that must be present for a legal contract
to exist. Provide a brief example of each element.
. Case Support: Analyze the specific facts presented in the scenario and determine whether
the elements of a contract are present. Support your analysis with in-text citations that
reference at least two academic sources, one of which must be an outside source.
. Case Judgement: Decide whether or not Jim and Laura entered a contract with Stan
Salesman for the purchase of the automobile. Y our judgment should be clearly stated and
backed by your previous analysis.
. Reference Page: Include a list of references in APA format for any source you cite in your
paper, including tutorials from this course.
Visit the Citation Help resource for assistance with APA in-text citations and reference pages.
9/30/26, 8:29 PMTOUCHSTONE 2: Did Jim and Laura Buy a Car? | Business Law | Sophia Learning
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HINT
Academic sources may include Sophia course tutorials, legal dictionaries, government
websites (.gov), or law-related education websites (.edu). Free online resources such as the
Legal Information Institute or the American Bar Association are excellent places to start.
Note: Wikipedia does not qualify as a quality academic source.
Step 3: Review and Submit Y our Work
Review your work carefully and check the rubric to make sure you have met all the requirements.
Submit in Microsoft Word (.doc or .docx) format.
Rubric
Advanced(100%) Proficient(85%) Acceptable(75%) NeedsImprovement(50%)
Contract Definition
Defines the elementsof a legal contract withexamples. (25%)
Thoroughly defines allthe elements of a legalcontract and providesappropriate examplesof each.
Defines most of theelements of a legalcontract and providesappropriate examples.
Defines half of theelements of a legalcontract and providesappropriate examples.
Insufficiently definesthe elements of a legalcontract.
Case Support
Analyzes the facts fromthe scenario whichsupport the decision onwhether or not acontract exists. (25%)
Identifies 5 or morespecific facts from thescenario and explainshow each fact directlyrelates to contractelements.
Identifies 4 or morespecific facts from thescenario, withreasonableconnections to contractelements.
Identifies 3 or morefacts from the scenario,but connections tocontract elements maybe unclear or general.
Insufficiently identifiesfacts from the scenarioand how they support aconclusion.
Case Judgment
Decides whether or notthere was a contract forthe purchase of theautomobile. (25%)
Provides a clear andcorrect decision(yes/no) and accuratelyapplies the facts of thecase to support thedecision; decision isfully aligned with thecontract definition.
Provides a correctdecision and generallyapplies the facts of thecase to support thedecision.
Provides a correctdecision, but therationale is very limitedor contains errors inapplying the facts orinterpreting thecontract definition.
Provides an incorrectdecision; reasoning ismissing ordemonstratessignificantmisunderstanding ofcontract elements.
Sources Analysis is supportedAnalysis is supportedIncludes the requiredDoes not include the
9/30/26, 8:29 PMTOUCHSTONE 2: Did Jim and Laura Buy a Car? | Business Law | Sophia Learning
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Cites two academicsources to support yourjudgement. (15%)
with the requirednumber of references;all references are high-quality sources.
with the requirednumber of references;most references arehigh-quality choices.
number of references;references are mostlynot high-qualitychoices.
required number ofreferences.
Conventions
Paper is proofread andmeets length andformattingrequirements (10%).
There are almost noerrors in grammar,punctuation, spelling,and capitalization;length requirement ismet.
There are minor errorsin grammar,punctuation, spelling,and capitalization thatdo not impedereadability; lengthrequirement is nearlymet.
There are frequenterrors in grammar,punctuation, spelling,and capitalization;length requirement isnearly met.
There are consistentsignificant errors ingrammar, punctuation,spelling, andcapitalization; lengthrequirement is notnearly met.
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