Graham wishing to impress his friend Stacey, goes with Stacey to an antique shop. He inspects an antique dining table and asks the shop assistant the price. The shop assistant tells him that the price is $5,000. Graham says to the shop assistant that he will take it and gives his address to the shop assistant to deliver it to his home. Payment will be on delivery.

When the table arrives, Graham telephones the shop and tells the shop assistant that he was only pretending to buy the table and that he had no intention of going through with the purchase. The shop assistant tells him that Graham must pay for the table.

Is there a binding contract between Graham and the shop? Discuss this situation using case law to support any argument you may make.

In this scenerio, is there an intention to create legal relations?

The text book says the willingness of all parties to an agreement to be legally bound by that agreement, the intention to create legal relations but I dont see any intention to create legal relations between them. If there is, please let me know where I can find an intention to create legal relations in the scenerio.