1.Samy Hamilton in a telephone conversation asked Rai Konan if Rai Konan wanted to sell his sports car. Samy Hamilton told Rai Konan that he was willing to pay a reasonable price. Rai Konan said he had not thought about it. Samy Hamilton asked Rai Konan if he would be happy with $50,000.00. Rai Konan said he has not thought about it, but $50,000.00 appears reasonable.Samy Hamilton said he would come and collect the sports car and slammed down the phone. On arrival, Rai Konan did not want to sell the sports car.

Using the AILAC method advice Rai Konan whether there is a valid contract between him and Samy Hamilton.You must support your answer with reasons and cite relevant case law & statutory provisions, if any.

(10 Marks)