On Monday morning Peter in London wrote to Isobel in Ipswich offering to sell Isobel his Rolls Royce car for 20,000.On receiving Peter's offer on Monday night, Isobel telephoned him in order to accept.Peter however, said that since such a large sum of money was involved, he wanted written confirmation of the acceptance from Isobel.He said that if Isobel got her letter of acceptance to him by 11AM the next day (Tuesday), he would go ahead with the sale at 20,000.Isobel at once wrote and posted a letter of acceptance which Peter received at 9AM on the Tuesday morning.In the meantime, however, Peter had received a better offer for his car, and wrote to Isobel withdrawing his offer to her.This letter was posted at 5PM on the Monday evening and was received by Isobel at 8.30AM on Tuesday.

Discuss whether or not a contract exists between Peter and Isobel.You may assume that the telephone conversation between Peter and Isobel on Monday night amounted to a unilateral offer.

*Please provide case references to all the issues identified in the case*

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