Assignment task: How would you expect the court to rule on the question whether a contract to sell the house had been formed and what would be its reasoning for such a holding?
Billy Bob and his drinking buddy, Jimmy Joe, had been drinking most of the day one Saturday. The next day, Sunday, the two woke up and found a piece of paper that said that Jimmy Joe agreed to buy Billy Bob's house for $125,000, payable at $25,000 per year for five years. The paper had the signatures of both men. Jimmy Joe knew the house was worth at least twice that much and demanded Billy Bob sign a deed to his house. When Billy Bob refused to do so, Jimmy Joe sued to enforce the agreement. Billy Bob filed an answer alleging that there was no valid contract. At trial both Billy Bob and Jimmy Joe testified they had no recollection of any conversation concerning the sale of the house.