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My vote goes to 340xi, especially if it's the 2019+ models. Smooth power delivery, fuel efficient, and more spacious than the Lexus.
The IS is thirsty on gas without the performance to match. The IS300 has the 350 engine but detuned via ECU, so you're still going to get bad fuel economy with the lower performance. The car overall is pretty cramped inside as well.
I have no experience with the C aside from sitting inside one at a dealer. I think those screens on the newer ones might be a challenge for your FIL. With the 3-series you can get around that by going for a pre-LCI model.
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