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On March 1st, Janet, Who Lives in Edmonton, Sent a Letter

Question 32

Multiple Choice

On March 1st, Janet, who lives in Edmonton, sent a letter to Tad, who lives in Toronto.The letter said: "I want to buy your car.I'll pay $10 000 for it.If I don't hear anything more from you, I'll assume that I can drive the car away when I'm in Toronto at the beginning of April." When he received that letter on March 5th, Tad phoned Janet.She was not home, but he left a message on her answering machine that said: "I'm willing to sell my car to you, but only if you promise to pay $15 000.I need your answer to be sent by mail within one week." Janet listened to that message on March 6.That same day, she sent a second letter to Tad that said, "I received your message.I'll pay $15 000, but not one cent more." On March 10, Tad decided that he did not want to sell the car after all.He immediately left a message on Janet's answering machine that said: "The deal is off.I'm keeping my car." An hour later, he received Janet's second letter.Which of the following statements is most likely TRUE?


A) The parties do not have a contract because an offer that is received by telephone cannot be accepted by mail.
B) A contract was created in Edmonton on March 6.
C) The parties do not have a contract because Janet was not entitled to say that her initial offer would be accepted through silence.
D) A contract was created in Toronto on March 10.
E) Tad successfully revoked his offer before he received Janet's acceptance.

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