The commercial did not constitute an offer under the Restatement of Contracts.
No reasonable person could have actually believed they could get a $37 million jet for $700,000.
Judge Kimba said the commercial was "evidently done in jest" and said, "The notion of traveling to school in a Harrier Jet is an exaggerated adolescent fantasy."
The case was thrown out.
Pepsi also never cashed the cheque, so there was no case for fraud.
The commercial stayed on the air, but Pepsi changed the cost of the jet to 700,000,000 Pepsi points.
A clarification saying "just kidding" was also added.
One final point is that the Pentagon even intervened in the case, saying the jet, which was used by the US Military, would not be sold to a civilian without "demilitarization."
In the case of the Harrier, this would mean removing its ability to land and take off vertically.