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44 Cards in this Set

  • Front
  • Back
Definition of offer
Expression of willingness to contract on certain terms, made with intention that it shall become binding as soon as accepted by person to whom it is addressed - Professor Treitel
Court adopts primarily objective approach to existence of an agreement
Smith v Hughes (1871)
Subjective element of offeree’s belief that conduct of offeror represents their intention
Goff LJ in Allied Marine Transport v Vale do Rio Doce Navegacao SA (The Leonidas) [1985]
Goods on display in supermarkets and self service shops generally invitations to treat
Pharmaceutical Society of Great Britain v Boots Cash Chemists [1953]
Display in shop window is invitation to treat
Fisher v Bell [1961] - flick knife
Advertisements generally regarded as invitations to treat
Partridge v Crittenden [1968] - live wild bird

Advertisement of a reward traditionally seen as offer

William v Carwardine (1833)

Certain adverts are treated as offers, can waive need for communication of accepting
Carlill v Carbolic Smoke Ball Company (1892)
Sale by auction is complete on fall of auctioneer’s hammer (acceptance)
s57(2) of Sale of goods Act 1979
Where no reserve price given, auctioneer can be liable for refusing to sell
Barry v Davies (ta Heathcote Ball & Co) [2000]
There are certain situations where invitations to tender constitute an offer
Harvela Investments Ltd v Royal Trust Company of Canada Ltd [1986] - highest fixed
Invitations to tender can constitute offer to choose fairly - letterbox emptying
Blackpool & Flyde Aero Club Ltd v Blackpool Borough Council [1990]
Promise to keep offer open for certain period of time usually not binding
Routledge v Grant (1828) - not binding if gratuitous
Promise to keep offer open for certain period is binding if consideration given
Mountford v Scott [1975] - £1
Revocation must be communicated to the offeree to be effective
Byrne & Co v Van Tienhoven & Co (1880)
Exceptions to general rule for communication of revocation
Professor Treitel: wrong address, offeree chooses not to read
To revoke offer to public, must publish sufficiently prominent notice
US case of Shuey v United States (1875)
For notice of revocation to a business, reasonable expectation of reading
The Brimnes [1975] - office hours
Revocation may be communicated by reliable third party
Dickinson v Dodds (1876)
Sometimes an implied promise in unilateral contract not to revoke after beginning
Errington v Errington and Woods [1952] - father’s widow, mortgage
Counter offer is an implied rejection of initial offer
Hyde v Wrench (1840)
Simple request for information does not affect offer or acceptance
Stevenson Jacques and Co v McLean (1880)
Definition of acceptance
Professor Treitel: final and unqualified expression of assent to terms of offer
Not knowing about offer (cannot accept) includes forgetfulness
Australian case of R v Clarke (1927) - unable to claim reward
Mixed motives do not preclude acceptance of an offer
Williams v Carwardine (1833)
Prevail clause in battle of the forms irrelevant if not included in last shot
Butler Machine Tool Co [1979]
Where no signature necessary, performance of act likely to be acceptance by conduct of last set of standard terms to be proffered
Brogden v Metropolitan Railway Co (1877)
For hire purchase agreement, absence of important details may make unenforceable
Scammell v Ouston [1941] - too vague (can give content to other vague bits)
General rule that acceptance must be communicated
Enstores Ltd v Miles Far East Corp [1955]
Acceptance can be communicated either by offeree or duly authorised agent
Powell v Lee (1908)
Possible for offeror to waive need for communication of acceptance
Carlill v Carbolic Smoke Ball Co [1893]

Offeror cannot impose contract on offeree by stipulating silence is acceptance

Felthouse v Bindley (1862)

Nothing wrong in principle with offeror binding themselves by silence
Court of Appeal in Re Selectmove Ltd [1995]
Letter of acceptance which is posted is complete on posting
Adams v Lindsell (1818) - contract formed at that point
Postal rule applies even where acceptance never arrived
Household Fire and Carriage Accident Insurance v Grant (1879)
Must be reasonable for acceptance to be sent by post
Thesiger LJ in Household Fire and Carriage Accident Insurance v Grant (1879)
Possible to exclude the postal rule
Holwell Securities Ltd v Hughes [1974] - stipulating need for notice
With faster methods of communication, point of acceptance dependent on intentions of parties
Brinkibon [1983]
Elderly residents promising young couple leaving house and contents to them
Intention (couple sold houses to care) - Parker v Clark [1960]
Workmates buying lottery tickets together (alternating each week)
Intention to create relations- Simpkins v Pays [1955]
In domestic and social agreements, presumption of no intention to create
Balfour v Balfour [1919] - no consideration
If couple are separated, presumption is likely to be rebutted
Merritt v Merritt [1970] - also formal agreement as rebuttal
In commercial situations, presumption that parties intended legally binding
Edwards v Skyways [1964]
Presumption in commercial situations can be rebutted by clear words
Rose and Frank Co v Crompton Bros [1925]