Law
A bakery negotiated with a supplier regarding a long-term commitment to supply flour. They agreed to specific terms to be memorialized in a written contract. Due to an oversight, the supplier never signed the written contract, although it began providing flour to the bakery under the terms of their agreement. Six months later, the price of flour rose dramatically following a nationwide drought. The supplier, realizing that it had never signed the contract, told the bakery that it would have to charge a higher price for the flour. The bakery properly filed a complaint in federal district court, alleging that the flour supplier had breached their contract. The flour supplier filed an answer in which it denied the factual allegations in the complaint regarding the price and duration of the contract, but did not raise any affirmative defenses. The following day, the flour supplier filed a motion to dismiss, asserting that the oral contract between the parties violated the Statute of Frauds.Can the court grant the defendant's motion to dismiss?Yes, because the answer denied the factual allegations regarding the terms of the contract.Yes, because the complaint failed to state a claim upon which relief could be granted.No, because the defendant waived any objection on the pleadings by filing an answer.No, because the defendant did not assert a defense based on the Statute of Frauds in its answer.