Contract Flashcards
What 3 elements need to be present for a binding contract?
Offer and acceptance
Intention to create legal relations
Consideration
What 2 elements need to be satisfied to show offer and acceptance?
Clear and certain offer displaying intention to be bound
Unequivocal acceptance
What test is applied to determine if there is an agreement between an offeror and offeree?
Objectively, what would the reasonable person say was the intention of the parties having regard to all circumstances
When is a unilateral contract deemed to be accepted?
When the act is performed
If a shop advertises saying special offer will that be an offer or invitation to treat?
Invitation to treat
Are goods displayed on shelves of a self-service store offers or invitation to treat?
Invitations
Are website displays offers or invitations to treat?
Invitations to treat
Is the act of inviting to tender an offer or an invitation?
Invitation
Is an invitation to tender, promising to accept the highest/lowest bid an offer or invitation?
Offer – it is a unilateral contract
What 3 conditions can be satisfied to show that an invitation to tender is actually an offer?
- Tenders are solicited from specified parties known to the requesting party
- Absolute deadline for submission
- Party requesting tenders had laid down absolute and non-negotiable conditions for submission
In auctions, when is the bidders offer deemed accepted?
Fall of hammer
In auctions, when can an offer be revoked?
Before the fall of the hammer
How many contracts are there in an auction without reserve and what are they?
- Bidder makes offer, accepted by hammer
- Unilateral contract based on promise that auction is without reserve and goods go to highest bona fide bidder (no matter how low)
What is a bidder entitled to if it is an auction without reserve and the auctioneer does not give them the goods/say there is an offer?
Damages from auctioneer
How can offers come to an end?
Rejected
Lapses
Revoked
What happens if there is no counter offer but an acceptance of an offer on an offerees terms?
It will be deemed a counter-offer and will still negate the OG offer
When does revocation of an offer take effect?
When the offeree has actual notice
Is an offer revoked in communication by a third party valid?
Yes
When will death lapse an offer?
If the offeree knows the offeror has died
The death of the offeree – offer can’t be accepted by oferee’s representatives
When can a unilateral offer be revoked?
B4 act is complete
What happens if a unilateral offer has been part-performed?
It’ll probably be upheld and there is an implied obligation not to revoke the offer once performance has commenced
How can revocation be effected for a unilateral offer if its impossible to know who all the offerees are?
Must take reasonable steps to bring to the attention of all those who have read the offer
What are the 4 elements for defining whether there has been a valid acceptance?
Acceptance is in response to the offer
Acceptance is unqualified
Necessary prescribed mode of acceptance is followed
Acceptance must be communicated
Can you accept an offer that was not addressed to you?
No