Multiple choice

An invitation to offer does not constitute an offer.

Senor Abbey was taking his son Parak through the city of Bangalore during a fair. Parak saw a shop that was selling a very cute teddy bear and told his dad that he wanted it. Senor Abbey asked the shopkeeper its price and was told that it was not for sale. He was infuriated and told the shopkeeper that since he had put it out on display, he had to sell it as he was ready to pay any amount for it. The toy itself was quite unreasonably priced at Rs. 500, but he was ready to pay the amount. The shopkeeper still refused to sell the teddy bear.

Which of the following statements is true regarding the given situation?

  1. Since the toy was on display, it will be considered that it was up for sale.

  2. Since the price had been marked on the toy, it will constitute an offer.

  3. The toy was not for sale as the shopkeeper liked it a lot and wanted to take it for his son.

  4. Since the toy was on display, it was merely an invitation to offer and not an offer itself. The shopkeeper was free to not sell it.

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Option 1: The toy, being on display, was an invitation of offer. However, since the shopkeeper had explicitly told the customer that the toy was not for sale, the offer stood cancelled.

Option 2: No, simply being marked with a price does not constitute willingness of the person to sell.

Option 3: No, this fact is not mentioned in the stated "fact".

Option 4: Yes, the toy, like the other things on display, are invitations of offer. However, the validity of the offer is contingent on the shopkeeper's willingness to sell.