Contract 1 - Agreement

Question 1

Offer?

Answer 1

An expression of willingness to contract on certain terms, made with the intention that it shall become binding as soon as it is accepted by the person to whom it is addressed.

Question 2

Conduct?

Answer 2

Even expression, newspapers, letters etc..
Courts take objective approach (reasonable person).

Question 3

Preliminary statements?

Answer 3

‘Thinking’ - only an invitation to treat.
Goods on display only an invitation to treat.

Question 4

Adverts?

Answer 4

• Generally no
  BUT
  Advertisements of reward if specified condition satisfied.

Question 5

Unilateral v Bilateral

Answer 5

Unilateral - If do Z, I promise to do Y (promise to pay a reward (Carlill v Carbolic Smoke Ball Company)
Bilateral - promise for a promise

Question 6

Auction?

Answer 6

Inviting bids only an invitation to treat.
‘Reserve’ when minimum figure need to be reached.
Barry v Davies - breach of a unilateral contract (sold without reserve). Damages was lost expectation.

Question 7

Tenders

Answer 7

If impliedly or say going to accept lowest - breach of unilateral contract.
Blackpool & Fylde Aero Club Ltd v Blackpool Borough Council (1990) - invitation to tender binding.

Question 8

Acceptance

Answer 8

Expression of assent which is unqualified.
- Not a conditional response as then it is a counter-off. (Reverses contract new offer to offeror).

Question 9

Postal rule?

Answer 9

• reasonable to use post
• letter was properly addressed and stamped
  -had not been excluded by the offeror e.g. (notice in writing or ‘told’ would not count)

Binding at time of posting.

Question 10

Termination

Answer 10

Rejection - express or implied
Revocation - withdrawal. Any time before acceptance. Unless gave something to keep offer open (consideration).
Lapse of time - Specified time if not then reasonable time (depends on goods).

Question 11

Revocation of unilateral?

Answer 11

• No obligations arise until the act is completed
  HOWEVER
• an implied promise not to revoke if the specified act is started within a reasonable time

Question 12

Revocation by email?

Answer 12

When received. The Brimnes (1975) If in the normal course of business come to the attention of the person on arrival, but for their failure to act in a business manner.

Question 13

Judging complete agreement?

Answer 13

Objective approach -
in the same trade?
trade usage?
arrangement been acted on for any length of time?
objective mechanism for resolution (such as an arbitration clause).