Acceptance (Paper 3-Section B Topics 1-4)

Question 1

Define Acceptance

Answer 1

‘Acceptance confirms that the terms of the offer are agreed’

Question 2

What does acceptance have to be?

Answer 2

Positive, unqualified and communicated to the person who made the offer.

Question 3

How is an offer accepted?

Answer 3

Acceptance can be in any form, so it does not have to be in the same method which the offeror has used as long as the offeror agrees for that method to be used. Silence never indicated acceptance.

Question 4

Give the held of: Felthouse v Bindley

Answer 4

There was no contract as silence is never valid acceptance.

Question 5

Define Mandatory Instructions

Answer 5

Instructions that the court decides are non-negotiable

Question 6

Define Directory Instructions

Answer 6

Instructions that aren’t fundamental; if they aren’t followed, valid contract is still available

Question 7

Give the held of: Yates v Pulleyn

Answer 7

The requirement was waivered- was valid acceptance as it was merely a ‘directory’ instruction.

Question 8

Give the held of: Neocleous v Rees

Answer 8

Contracts signed electronically will generally be applied the same way as written signatures would be. (Named case)

Question 9

When does acceptance take place generally?

Answer 9

When it is communicated to the offeror.

Question 10

When does acceptance by conduct take place and give the case?

Answer 10

Acceptance can take place through actions.

Carlill v Carbolic Smokeball Co.
(Contract was accepted when she took the smokeball)

Question 11

Give the held of: Reveille Independent v Anotech

Answer 11

Even though the counter-offer remained unsigned, there was still a binding contract.
(acceptance by conduct)

Question 12

What does the postal rule apply to?

Answer 12

ONLY to letters of acceptance, not offers or counter offers.

Question 13

When does acceptance by post occur?

Answer 13

When the letter is posted

Question 14

What are the three rules that apply in the postal rule?

Answer 14

1. Post must be usual/expected means of communication
2. The letter must be properly addressed and stamped
3. The offeree must be able to prove the letter has been posted

Question 15

Give the held of: Adams v Lindsell

Answer 15

Acceptance took place as soon as the letter was posted; there was no revocation so there was a valid contract.

Question 16

Give the held of: Household Insurance v Grant

Answer 16

If a letter is lost and never delivered, there is still acceptance.

Question 17

Give the held for: Getreid v Contimar

Answer 17

The postal rule did not apply as it would be unreasonable to put the offeror at a disadvantage as the offeree made a mistake.

Question 18

When does acceptance occur electronically?

Answer 18

Acceptance occurs when the offeror is aware of acceptance.
(Entores v Miles Far East Corporation)

Question 19

Describe the law on out of hour message that communicate acceptance.

Answer 19

They are only effective once the office reopens.
(Brinkibon v Stahag Stahl)

Question 20

Give the held of: Thomas v BPE Solicitors

Answer 20

Acceptance didn’t take place until the office reopened.

Question 21

What does the ‘Consumer Protection (Distance Selling) Regulation 2000’ and ‘Consumer Rights Act 2015’ both state?

Answer 21

If key info isn’t provided to the consumer, there is no contract.

Question 22

What does ‘Article 11 of the Electronic Commerce (EC Directive) Regulations 2002’ state?

Answer 22

A buyer is required to give consent through technological means (the contract isn’t formed until the buyer receives acknowledgment of acceptance from the seller).