On June 1 the Mega Marketing Research Firm Sent Out

Multiple Choice

On June 1 the Mega Marketing Research Firm sent out a mail survey to 5,000 potential customers of Mega's client company.The survey stated that everyone who completed the survey and mailed it back would receive a prize.Mega did not expect everyone to respond to the survey and had only 1,000 prizes on hand for the respondents.On July 14 Sam mailed back his response and eagerly awaited his prize.On July 15 Mega sent out the last prize it had.Sam's response arrived on July 16.It was the 1001st^, and Mega wrote back telling Sam that because all the prizes were gone,he would not be able to have one.

A) No contract was formed here as there was no communication of Sam's acceptance before Mega's offer lapsed.
B) Mega had essentially revoked its offer before Sam accepted.
C) A valid contract was formed between Mega and Sam.
D) Mega may assert that silence is not acceptance and Sam did not communicate his acceptance on time.
E) All but one of the above are true.