Key cases for Offer and Acceptance

Question 1

Carlill v Carbolic Smoke Ball Co. (1893) 1 QB 256 CA

1. What type of offer was it?
2. Facts of the case?
3. Court held?

Answer 1

1. Unilateral in a newspaper
2. Carlill had completed the instructions and still contracted influenza, attempted to sue the company for not giving her the promised money
3. Held: The company had deposited £1,000 in bank to show a sign of good faith (must have meant it), Carlill’s acceptance was her meeting the conditions of the offer, offer can be made to the entire world

Question 2

Invitations to treat in a self-service store:
Pharmaceutical society of GB v Boots Cash Chemist (1952) 2 QB 759

Court held?

Answer 2

Held: Shelf display was an ‘invitation to treat’, offer was made by the customer at the cash desk, as a pharmacist was advising at the cash desk no offence was committed

Question 3

Invitations to treat in a shop window:
Fisher v Bell (19610 QB 394

Court held?

Answer 3

Held: Display of an article in shop window was only an invitation to treat and not an offer

Question 4

Invitation to treat in an advertisement/catalogue/website:
Partridge v Crittenden (1968) WLR 1204

Facts of the case?
Court held?

Answer 4

Magazine article states: ‘Bramblefinch cocks and hens, 25s each’, unlawfully offering wild birds for sale, in breach of Protection of Birds Act 1954

Held: Advert was an invitation to treat, some adverts can be an offer however, depends on PRECISE wording

Question 5

Invitation to treat - a mere supply of information:
Harvey v Facey (1893) A.C 552 P.C

Facts of the case?
Court held?

Answer 5

Telegram was sent asking the price of a property. Reply was simply ‘Lowest price for..is £900’. buyers replied ‘we agree to buy..for £900 asked by you’. Seller chose not to sell

Held: No contract because the seller’s reply to the telegram was a statement of information

Question 6

Invitations to treat - auctions:
Payne v Cave (1798) 100 E.R 502

Held?

Answer 6

Held: Auctioneer’s requests for bids are invitations, Bid may be revoked before acceptance, acceptance in an auction is when the auctioneer specifically says “sold”, bids = offers

Question 7

GNR v Witham (1873) LR 9 CP 16
Clarification?

Example case?

Answer 7

Referential bids are NOT VALID bids

Harvela Ltd v Royal Trust of Canada (1985) 3 WLR 276 (HL)
one party made an offer of $x above any other offer, unilateral offer to accept highest bidder, however referential bids are not valid so could not accept

Question 8

Example of a case when revocation is effective ONLY when it is COMMUNICATED to the offeree BEFORE acceptance

Answer 8

Byrne v Van Tienhoven (1880) 5 CPD 344

Question 9

Example case of when revocation can be communicated through a reliable third party

Answer 9

Dickenson v Dodds (1876) 2 ch D 463

Question 10

Example case of revocation of unilateral offers

Answer 10

Shuey v USA 918750m23 Led 697

An offer made by advert in a newspaper can be revoked by a similar advert in the same newspaper