Law Beat - Quiz #3

Learning the Law Series - Part 3

Offer and Acceptance - Invitation to Treat

Well Jack and Jill still have not mended their differences since their last fight that saw them part over the purchase of a house. Jill ended up moving into the house alone and to date has had terrible regrets over what she did to her brother, Jack.

Meanwhile, Jack needed a place to stay. He decided to go to a local estate auction where all the contents of a house were being sold and the house itself was being auctioned at the end of the day. Jack saw a beautiful 19th world globe for sale. The price tag stated $2,500. Jack looked over the globe while another individual, Steel, also looked at the globe at the same time. The executor of the estate was sitting beside the globe. Jack stated that he wanted to buy the globe for $2495 (Jack was always a tough negotiator). The executor accepted the offer. Before Jack had paid for the globe, Steel handed $2,500 to the executor and stated that he would pay full price. The executor turned to Jack and said "Sorry". Then pocketed the money and handed the globe over to Steel.

Jack was outraged and decided to sue the estate for the globe.

Now you be the judge:

Will Jack be successful in suing the estate to obtain the globe?
(a) No, because he didn't offer full price.
(b) Yes, because the executor had accepted Jack's offer.
(c) No, because the executor's displaying the globe to the general public was an invitation to treat and Steel paid for it first.
(d) Yes, because the executor's displaying the globe to the public was an offer, which Jack has substantially accepted by offering close to the offer price.
Would it make a difference if before the executor's acceptance of Jack's offer, the executor had accepted Steel's offer?
(a) No. Jack made the offer first and therefore the executor had to accept it.
(b) Yes. Steel's offer was for the full price and therefore the executor had no choice but to accept Steel's offer.
(c) Yes. Since the executor had not accepted Jack's offer, he was free to accept Steel's offer.
(d) No. There is not a court in the world that would enforce a contract to an individual named "Steel".
If Jack had offered $2,500, could he force the executor to sell him the globe.
(a) Yes. Since the executor had put a price tag of $2,500, this was an offer on the part of the executor which Jack accepted by tendering the full $2,500.
(b) Yes. When the full price is asked and offered, the contract is automatically concluded.
(c) No. The executor had heard about Jack and Jill's problems and didn't trust Jack. He didn't have to conclude a deal with anyone he didn't trust.
(d) No. The executor's displaying the globe with the price tag is only an invitation to treat. Jack's tendering of $2,500 would only be an offer that the executor is free to decline.
At the end of the day, the executor was auctioning off the house. Jack bid the highest. Unfortunately, the executor did not want to accept Jack's bid and therefore the executor decided to accept the second highest bid. Would Jack be successful in suing to force the executor to sell the house to Jack?
(a) Yes. Jack was the highest bidder and therefore entitled to the house.
(b) Yes. The auction an offer by the executor which was accepted by Jack in being the highest bidder.
(c) No. Everyone knows that Jack can't afford the house and therefore no court would side with Jack.
(d) No. The auction was a mere invitation to treat and it is within the executor's discretion whether to accept any offers made by way of bids.

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