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At a charity auction, a patron consumed several drinks, slurred his words, and repeatedly asked the auctioneer what item was being sold. The auctioneer saw the patron's condition but accepted his signed bid for a sculpture. The next day, the patron attempted to avoid the purchase.
Which statement best describes the intoxication defense?

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The contract is voidable only if the patron was under a court-appointed guardianship. The contract is enforceable because auction contracts are exempt from capacity rules. The contract is enforceable unless the patron proves the price was below market value. The contract is voidable if the patron was unable to understand the transaction because of intoxication and the auctioneer had reason to know.

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