Acceptance

Question 1

acceptance

Answer 1

once an offer is accepted there’s an agreement, if the other requirements (consideration, privity, intention) are fulfilled there is a legally binding contract.

Positive and unqualified – acceptance must be of the whole offer, it can’t be ‘Yes, but…’ or a ‘Yes, if…’. If acceptance is ‘Yes, if…’ this might be a counter offer which would then need to be accepted.

Question 2

Felthouse v Bindley

Answer 2

facts: Felthouse negotiated to purchase a horse from his nephew. There was a mix-up with the price, as the uncle offered less than the nephew desired.
principle: offers cannot be accepted by silence or inactivity by the offeree

Question 3

Yates v Pulleyn

Answer 3

facts: D gave P option to purchase land, stating notice of acceptance should be returned by registered or recorded delivery.
P returned notice by ordinary post, D refused.
principle: specifying the form of postage (recorded) is not a mandatory instruction, any form of post will do

Question 4

Reveille v Anotech

Answer 4

facts: Reveille began negotiating with Anotech to feature Anotech’s product on the show and allow Anotech to use the MasterChef brand. a dispute arose between the parties as to whether there was a binding contract.
principle: editing terms before both parties sign is a counter offer, but if offeree carries out the terms this is acceptance by conduct.

Question 5

Adams v Lindsell

Answer 5

facts: the defendant wrote to the claimant offering to sell them some wool and asking for a reply ‘in the course of post’.
principle: acceptance is communicated as soon as the letter is posted.

Question 6

Thomas and Gander v BPE Solicitors

Answer 6

facts: claimants sued the defendant over the way they handled the sale of the claimants’ shares in a company.
principle: emails after working hours can be valid acceptance if accessible on a portable device and if the action can be completed.