A buyer and an artist broker a deal for a large framed mirror. The artist waits to see how many people pass by before accepting. The next morning the mirror is broken. The buyer pays $500 and takes the mirror; the artist demands the remaining $500. Is the buyer liable for the remaining $500?

• A. Yes, because the buyer accepted the offer by paying $500.
• B. No, because the original offer terminated when the mirror was dropped and broken.
• C. Yes, because the buyer accepted partial performance as acceptance.
• D. No, because the original offer terminated and the buyer does not owe the remaining.

Answer: (B)

The key idea is that destruction of the subject matter ends the offer. If the thing being sold no longer exists before the offeree accepts, there’s nothing to accept and no contract forms. Here, the mirror—the object of the deal—was broken before a valid acceptance occurred, so the offer no longer exists. Because the contract didn’t form, the buyer’s payment and possession do not oblige the artist to deliver or require the remaining $500. The other choices run into problems: payment or partial performance generally won’t count as acceptance when the offer has been terminated by destruction, and the scenario doesn’t fit strict acceptance by partial performance in a bilateral sale.