Ed brought his car to Larry's Lube for an oil change. After Larry completed the oil change, he presented Ed with a bill for $100. Ed, after recovering from the shock, said, "No one charges more than $25 for an oil change...This is highway robbery!" After much discussion, Larry and Ed agreed to settle for $50, which Ed paid. Larry then brought a Small Claims action for the remaining $50 balance. Will Ed be obligated to pay?

Yes, this was a valid unilateral contract.

Yes, Larry did the oil change, and Ed is obligated to pay.

No, this kind of price gouging is illegal.

No, Larry and Ed agreed to an accord and satisfaction.