The ILAC Question

Kevin is a student at the University of Queensland who is suffering from a head-ache and needs to purchase some headache tablets. He visits a Chemist in Toowong Brisbane called 'Cheap-Chem' and looks at the range of headache tablets on display on the shelves.

On one shelf are a brand of headache tablets manufactured by Merv Industries with a sign that says "Merv Migraine and Headache Tablets - guaranteed to eliminate headache pain fast!! Special offer - 10 boxes for only $50.00"

Kevin says to himself "Well, that's an offer that is too good to refuse", and takes 10 boxes of the Merv Migraine and Headache Tablets over to the counter where the salesperson is already serving another customer.

Kevin places the 10 boxes on the counter and while he is waiting for the salesperson to finish serving the other customer, he suddenly remembers that he might have seen 10 boxes of Merv Migraine and Headache Tablets at another chemist shop for $20.00.

The salesperson finishes serving the customer in front of Kevin and then says to Kevin "May I help you?"

Kevin then says "Sorry mate, I think I've seen this cheaper elsewhere so I've changed my mind". The salesperson responds "No, I'm afraid that I've studied Business Law and it's too late to pull out. You have to buy this now".

Kevin says "No I don't. I did not accept your offer".The salesperson says "But we accepted your offer".

Advise Cheap-Chem and Kevin if there is a binding contract between them? Or not?

Students must use ILAC to answer this question.