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A LUCKY MULLIGAN

Summer 2001

An advertisement for a golf tournament offered a $10,000 prize for making a hole-in-one on the first hole. To raise money above and beyond the entrance fee, the tournament also sold mulligans, which are extra shots usually taken after a particularly bad shot. One participant bought a mulligan and used it on the first hole when his first shot did not end up in the cup. For this golfer, practice made perfect, as the second attempt was a hole-in-one.

When the prize winner went to collect, the tournament refused to pay and the dispute ended up in court. The tournament organizers argued that the prize was only available for a regular shot, not a mulligan. The court was not persuaded because the golfer was never informed that he could not use the mulligan he bought to go for the big prize. When the tournament made an offer to each golfer to pay the $10,000 prize, the only term to be met was that a golfer hit a hole-in-one on the first hole. When a participant satisfied that term, whether or not with a mulligan, the tournament became contractually obligated to pay the prize.

 

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