Lucy told Jim her house is for sale, for $252,000. Jim told Lucy his is very interested but wanted his wife to see it first. That evening, Jim’s wife drives by the home. She calls Jim and says she loves the house – but there is a sold sign on the front lawn. Jim calls Lucy and says, “I accept.” What are the issues relevant to the problem?
What will be an ideal response?
The Statute of Frauds requires that contracts for the sale of real estate be in writing to be enforceable. Therefore, no valid contract has been formed by virtue of these oral communications.
If the Statute of Frauds did not apply, the issue of whether there was an offer that was accepted must be addressed. Jim’s initial response was not a clear acceptance. Lucy has no obligation to keep the offer open. Did she have to communicate that she was revoking the offer before selling the home to someone else? Because of the issues that can arise when items are held out for sale to the general public, most advertisements to sell are deemed invitations to make an offer. In such case, Jim would be the offeror and Lucy would be the offeree.
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What will be an ideal response?
Answer the following statements true (T) or false (F)
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