Jess says to a friend,"I'll sell you my 2-year-old Toyota Camry for $4,000." The friend says,"I'll take it," and they sign a short agreement to that effect.The friend didn't know this,but Jess intended the offer as a joke.There will be a contract if which of the following is true?

Question

Quizplus · Accepted Answer

For a contract to be formed, there must be a serious intent to make an offer. In this case, if a reasonable person would have believed that Jess was serious about selling the car for $4,000, then a contract would have been formed. The approximate fair value of the car (option A) is irrelevant, as the issue is whether there was an intention to create a contract. Option C is incorrect because Jess did not accept the offer but only made a joke. Option D is not relevant since a contract can be formed without a formal written agreement.

Jess Says to a Friend,"I'll Sell You My 2-Year-Old Toyota