can some one help me with this exam .i will attach all the notes that you need to answer the questions.

Sam’s advertisement to sell his car

Issue: Is Sam obligated to sell his Dodge Viper to Betty

Rule: An advertisement is an invitation to make an offer and is not generally a binding offer. However, it can be considered a binding offer if it is very specific

Analysis: in the initial contact, even if Sam’s ad is specific, Betty made a counteroffer and Sam is under no obligation to sell. So the question is Sam required to sell when Betty approaches him after Sam continued to run the ad.

Betty’s argument. Although I made a counteroffer to the first time, Sam continued to run the ad thereby making a new offer after I had counteroffered. In effect this should be treated as a counteroffer to me. Although the general rule is that an ad is simply an invitation to make an offer and is not a binding offer, if the add is very specific, then it can be considered a binding offer. That is the case here where Sam described his Viper. The ad specifically talked about his Dodge Viper. Assuming Sam was not a Dodge Viper dealer, this seems pretty specific and should overcome the general rule for an advertisement. Therefore, Sam made an offer to me and we have a contract.

Sam’s argument. My ad is not specific enough to be binding. To be binding it should have been more specific such as the year, the vin # and the mileage. However, even if it is binding, Betty clearly rejected my offer when she offered a lessor amount. The fact that the ad continued in the newspaper did not create a new offer to Betty, an offer which she had already rejected. Even if it is considered to be a binding offer, after rejecting my ad, she cannot now come in say she will accept it. Her counteroffer terminated my offer to her. The add continuing in the paper was not a new offer to her. It was the simply the offer that she had terminated with a counteroffer.

Conclusion: The question is whether by running the ad, Sam reoffered to sell the Dodge Viper after Betty terminated the first offer. I would consider Sam’s republishing of the advertisement to be a new offer and since the ad is very specific, Sam would be obligated to sell the car to Betty.