Reference no: EM133298165

Eli wants to open a hardware store, but he doesn't have much capital to start a home hardware business. He secures a small business loan from his bank but it's still not enough to open the doors. Eli's sister, Seraphina, is married to a carpenter named Nash Stevens. Eli decides to ask Nash and Seraphina for a loan to get his business rolling. Nash and Seraphina discuss it and decide that they would loan Eli $50,000. Nash and Eli go to the bank the next day. Nash withdraws the money, hands it over to Eli and a few months later Eli's business is finally up and running. About a year after the opening, Eli's business starts losing money. The customers just aren't there anymore. Eli is forced to close down his store. He has a going out of business sale and recovers enough money to pay off his creditors. He doesn't have money to pay Nash and Seraphina. Referring to relevant principles of contract law, what will Nash and Seraphina have to prove to successfully sue Eli for breach of contract for failing to repay the $50,000 loan?