Timmy Thompson, who finished his second year at a local community college last May, sees an advertisement to rent an apartment at Ocean Apartments for $1,500 a month. Timmy walks into the lobby of Ocean Apartments to rent an apartment, but he is told by Lily Lightfoot, the President of Ocean Apartments, Inc., that there was a mistake on the ad and rent is actually $2,000 a month. Timmy says he doesn like getting swindled and shouldn get the apartment as he signs the 1 year lease. Lily then signs the lease on behalf of Oceans Apartments, Inc., the entity that owns the apartments.

1. Based on the facts above, have the parties entered into a binding contract? Please explain your answer, making sure that you discuss each element of a contract and identifying how each was or was not met