Harry is considering selling the rights to his “tell all” bo…

Harry is considering selling the rights to his “tell all” book, Spare, to Netflix to make a movie. He tells his friend who is a director that he is thinking about it. The director tells Netflix about the idea and Netflix responds, “This is very intriguing to us. We think we want to do it but let us consider it.” The director contacts Harry and says: “We have a contract.” Which of the following is correct: