Problem.Dispute.Graduation party

     Rachel and four of her high school friends, looking forward to their graduation from high school in June, asked their families for a joint graduation party on Sunday, June 7, following graduation. They expected to invite over 200 people. Rachel's mother Tisha sought to find and rent facilities for the site of the party.

     Tisha set aside two days to look at the facilities on a list of several sites in the area. She stopped first at the Los Robles History Club, on April 15.   She immediately liked the facilities, which included a comfortable, attractive, and large indoor room, an adjoining kitchen with stove, oven, refrigerators, and cooking utensils, and a large outdoor patio, lawn and garden with a pretty view of the adjoining hills.

     Tisha met with Ms. Chaton Gole, authorized representative of the History Club, and told Chaton about the date for and desired use of the facilities, including the serving of food that the parents would prepare in the kitchen.  Chaton told Tisha that the price would be $2,500, prepaid, for the use of the facilities, including the kitchen, from 3:00 p.m. to midnight on June 7.

     Tisha said she wanted to make sure her daughter liked the facilities before booking the date. Chaton said that she would pencil in Tisha's name on the History Club's master schedule to hold the date for one week, pending approval by Tisha's daughter Rachel, but that she couldn't hold the reservation any longer. As Tisha was about to leave, Chaton pulled a document entitled "Reservation Contract" from her desk. She filled in the blanks on the document with the date, time, price, and Tisha's name, signed it for the History Club in the place provided for the History Club's signature, and handed it to Tisha saying: "This includes the terms. It provides a place for both of our signatures at the bottom."

     Because Tisha was confident that Rachel would like the facilities and because Chaton had said that she would pencil in Tisha's name on the master schedule, Tisha didn't visit any of the other sites on her list. Chaton forgot to pencil in Tisha's name on the History Club's master schedule.

     Rachel gave her mother the go ahead ("I trust your judgment" - - admittedly a very unusual teenage response).  Tisha called back on April 17, and told Chaton that she would like to use the facilities on June 7, as previously discussed. Chaton said that she would finalize the booking in the History Club's master schedule and told Tisha to sign and return the "Reservation Contract" within the next few days together with a check for the rental fee.

     After concluding this telephone conversation, Tisha read the "Reservation Contract" for the first time but did not sign it. It was a two sided printed document with 20 numbered clauses. The last clause, which appeared immediately above the place for the signatures, read as follows:

     "20. This reservation shall be complete and binding upon both parties upon the signature of both parties."

     On April 18, Chaton looked at the master calendar and discovered to her dismay that on April 16, one of her co-workers had booked the History Club for 1:00-4:00 p.m. on June 7.  She didn't call Tisha because she first wanted to talk with her co-worker to see if the other group would object to another date.

     On April 20, before Chaton had talked to her co-worker, Tisha walked into the History Club, "Reservation Contract" and checkbook in hand. As she approached Chaton, and before Tisha could say anything, Chaton said, with embarrassment:  "I'm afraid there is a problem. We seem to have booked another group for the same date, but I'm trying to work out moving them. They won't be using the kitchen so you could prepare food even while their event is going on and you could get into the main room by 4:00 p.m. to start decorating and have your guests arrive at 5:00 p.m."  After expressing her anger at this turn of events, Tisha said:    "Well, let me know by tomorrow if you can move their booking."   Tisha signed the "Reservation Contract" and left it with Chaton but didn't give Chaton a check.

     Tisha left. On her way home she looked at several other sites, some of which were already booked for the day she wanted. She liked the Saratoga Club and immediately booked and paid for it. It was considerably larger than the Los Robles History Club, and more expensive ($3,500), but it was the only facility that she knew of that had a similar view of the hills and was still available. She immediately called Chaton. Chaton told Tisha that Chaton had rearranged the other booking and could now accommodate Tisha. Tisha said she no longer wanted the booking because she had just paid and committed to the Saratoga Club.

     In July, Tisha filed suit against the Los Robles History Club seeking damages of $1,000 for breach of contract. The History Club, which had tried unsuccessfully to find another user for the afternoon and evening of June 7, cross-complained against Tisha for $2,500 for breach of contract.  Who should prevail, for how much, and why?  In addition to sections of R.2d Contracts considered in Problem.Dispute.Duration of offers (Part A), also consider R.2d Contracts 27, 30, and 50.