Acceptance

Question 1

what step in a contract is acceptance?

Answer 1

2

Question 2

define acceptance

Answer 2

a ‘final expression of agreement to the terms of an offer’

Question 3

what are the 5 elements to acceptance?

Answer 3

1. acceptance must be positive + unqualified
2. requests for info. = no acceptance
3. forms of acceptance
4. specified methods of acceptance
5. methods of communication of acceptance

Question 4

what case states that there must be certainty when accepting an offer (e.g. yes, not yes but/ if…)?

Answer 4

Hyde v Wrench

Question 5

what case states that a mere request for info. doesn’t terminate an offer so it is still open?

Answer 5

Steveson v McLean

Question 6

how can acceptance of a bilateral offer be communicated?

Answer 6

words or conduct

Question 7

how can acceptance of a unilateral offer be communicated? + example

Answer 7

conduct e.g. returning a lost dog

Question 8

can words be verbal or written?

Answer 8

yes - both

Question 9

who must acceptance of an offer be communicated to?

Answer 9

person making the offer

Question 10

what case states that, if offer states acceptance must be in specified form, any other type of acceptance is likely to be valid?

Answer 10

Yates v Pulleyn

Question 11

what case states that acceptance of a unilateral offer is communicated through conduct?

Answer 11

Carlill v Carbolic Smokeball Co.

Question 12

In what case did the offeree ask to reply ‘by return of post’, but it was said that any method arriving before that would be sufficient?

Answer 12

Tin v Hoffman

Question 13

what case states that in general, silence/ inaction cannot be an acceptance as some positive act is needed?

Answer 13

Felthouse v Bindley

Question 14

what case states that positive conduct can be implied in offer e.g. starting to use goods sent on approval?

Answer 14

Carlill v Carbolic Smokeball Co.

Question 15

when do the postal rules apply?

Answer 15

when it is agreed by the parties that post will be used as means of communication

Question 16

what are the postal rules (4)?

Answer 16

• only applies to letters of acceptance, not offers/ counter-offers/ revocation
• only applies if post is usual method of communicated or specifically stated
• must be stamped correctly + addressed letter
• C must be able to prove letter was posted

Question 17

when does the postal rule say that a letter of acceptance takes effect?

Answer 17

at the moment of posting

Question 18

in which case were the postal rules first clarified?

Answer 18

Adams v Lindsell

Question 19

in what case did Bramwell LJ note that an offeror could avoid postal rules by stating ‘your answer is only to bind if it reaches me’

Answer 19

Household fire insurance v Grant

Question 20

what is the exception to the postal rule? + case

Answer 20

Holwell Securities v Hughes: making it a term that acceptance will only take efefct when it is communicated to him (notice in writing)

Question 21

what was the first case that stated phone calls can be accepted as a form of acceptance , but if not heard due to fault - no communication of acceptance?

Answer 21

Entores v Miles far east corporation

Question 22

what case confirmed Entores v Miles far east corporation

Answer 22

Brinkibon

Question 23

Although Telex has been replaced by more modern methods of communication, do the same principles apply to, e.g., emailing, texting…?

Answer 23

yes

Question 24

what case states that, as a general rule, acceptance via email is communicated when it arrives, but if out of office hours, it will be communicated at start of next working day?

Answer 24

Mondial Shipping & Chartering

Question 25

what case confirmed the view in Mondial Shipping & Chartering?

Answer 25

Thomas v BPE solicitors

Question 26

what are the 3 elements to methods of communication of acceptance?

Answer 26

-conduct
-acceptance via post
-electric + instantaneous forms of communication

Question 27

what piece of legislation states that just retaining goods does not amount to an acceptance of any offer to sell the goods?

Answer 27

Consumer Protection (Distance Selling) Regulations 2000

Question 28

What does the Consumer Protection (Distance Selling) Regulations 2000 say regarding that the regulations also apply to modern methods?

Answer 28

seller must give consumer ‘cooling off’ period - right to cancel within 7 working days - allows for second thought

Question 29

what piece of legislation has an impact on offer + acceptance by electronic means? + what does it say?

Answer 29

The Electronic Commerce Regulations 2002 - acceptance includes acknowledgement of receipt (confirmation email)

Question 30

what do such regulations require service providers to provide? (3)

Answer 30

-receipt for orders
-allow purchasers to amend orders easily before sending off
-provide name + address of service provider

Question 31

what are 2 problems with offer + acceptance?

Answer 31

1. most contracts now not formed as a result of 1 party making straightforward contract + other simply accepting
2. common use of ‘standard forms’ of business as it becomes ‘battle of the forms’ - general rule: take last counter offer as having being accepted + give effects to its terms in the contract