Question

Sylvia had contracted with Produce Palace to sell it her entire crop of elephant garlic (100 kilograms) and her entire crop of tomatoes (100 kilograms). On the day for delivery, Produce Palace took the garlic but not the tomatoes. In an effort to mitigate her loss, Sylvia called the owner of Val's Veggies and offered her the tomatoes at a reduced price with the words, "Let me know quickly; they are ripe and must be moved out today." That afternoon, Val sent Sylvia a letter accepting the offer. On these facts, which is the most likely outcome?

A) There is no contract between Sylvia and Val because the offer had probably lapsed before the acceptance was received by Sylvia.
B) There is a contract between Sylvia and Val the moment Val drops the letter of acceptance in the postbox.
C) There is a contract between Sylvia and Val on the day the letter of acceptance is received by Sylvia.
D) If the post-box rule does not apply, there would be a contract as soon as Val mails the letter unless Sylvia had sold the tomatoes to someone else.
E) There is no contract between Sylvia and Val because Sylvia had revoked the offer.

Answer 1

The most likely outcome is option C) There is a contract between Sylvia and Val on the day the letter of acceptance is received by Sylvia.

Step-by-step explanation:

The most likely outcome is option C) There is a contract between Sylvia and Val on the day the letter of acceptance is received by Sylvia.

According to the facts given, Sylvia made an offer to Val to sell her tomatoes at a reduced price, and Val sent Sylvia a letter accepting the offer. In contract law, acceptance is valid when it is communicated to the offeror, which in this case would be Sylvia. Therefore, once Sylvia receives the letter of acceptance from Val, a contract is formed between them.