James Baird Co. v. Gimbel Bros., Inc.

Gimbel Bros. (defendant) offered Baird (plaintiff) and other contractors a price to supply linoleum for a construction project, contingent on "reasonably prompt acceptance" after the general contract was awarded. Gimbel had underbid by half and, upon discovering its error, sent all contractors notice withdrawing the offer and doubling the price. Baird had already used the original price in its own successful construction bid before receiving Gimbel's withdrawal notice, and formally accepted Gimbel's original offer two days after the withdrawal; Gimbel refused to honor it. Baird sued for breach of contract; the trial court found no contract existed, and Baird appealed.