King sent Foster, a real estate developer, a signed offer to sell a specified parcel of land to Foster for $200,000.  King, an engineer, had inherited the land.  On the same day that King’s letter was received, Foster telephoned King and accepted the offer. Which of the following statements is correct under the Statute of Frauds?
A. No contract was formed because King is not a merchant, and, therefore, King’s letter is not binding on Foster.
B. A contract was formed and would be enforceable against both King and Foster because Foster is a merchant.
C. A contract was formed, although it would be enforceable only against King.
D. No contract was formed because Foster did not sign the offer.
Answer:C
C is corrent. In order to conform with the Statute of Frauds, and therefore be enforceable, any contract for the sale of an interest in real property must be in writing and signed by the party to be charged. In this situation, only King has signed the contract, and, therefore, it is only enforceable against King.
A is incorrect. There is no requirement that the offeror be a merchant in order to form a valid contract.
B is incorrect. Foster must sign the offer in order for it to be enforceable against him/her. The fact that Foster is a merchant would not be relevant.
D is incorrect. A valid contract was formed despite the lack of Foster’s signature. However, since Foster did not sign the offer, it is not enforceable against him/her.