(A) is correct.
Issue: Whether the buyer’s silence was a valid form of acceptance.
Rule: Generally, an offeror cannot make an offer whereby the term of acceptance is the silence of the offeree. Analysis: Here, the buyer was under no obligation to respond to the owner’s offer. The buyer’s silence may not be deemed acceptance. The buyer did not have to reject an offer he did not solicit. Lack of acceptance prevents formation of a contract.
(A) is correct because the buyer never communicated any written or oral acceptance of the owner’s offer to sell the horse. Silence is not a valid form of acceptance. (B) is incorrect because the horse being in the buyer’s possession does not affect the applicable rules of offer and acceptance. (C) is incorrect because the buyer is under no obligation to respond to an offer. (D) is incorrect since no conduct of the buyer evidenced an acceptance of the offer, a requirement for an implied contract.