Peter and Ray are riding their horses together.Peter jokingly tells Ray that Ray's horse is too slow.Ray laughs and jokingly responds "Yes,he is too slow! I would sell him for $5!" Peter hands Ray $5.This is
A)a valid acceptance because Peter gave Ray the money in a reasonable time.
B)a valid acceptance because there is consideration on both sides.
C)not a valid acceptance because Ray's offer was made in jest.
D)not a valid acceptance because Ray's horse is worth more than $5.

Question

Quizplus · Accepted Answer

Ray's offer was made in jest and was not a serious offer. It was not intended as a valid acceptance and therefore Peter's payment of $5 cannot be considered as acceptance of a contract. There is no intention to create legal relations between two parties.

Peter and Ray Are Riding Their Horses Together