lecture 2

Question 1

offer and acceptance doctrine

Answer 1

standard way of establishing agreement

Question 2

3 questions of the offer and acceptance principle

Answer 2

1. did the parties reach agreement at all
2. when did the contract come into existence
3. what are the terms

Question 3

why does offer and acceptance matter

Answer 3

an offer places offeror at risk of being legally bound. When offeree accepts it is too late for the offeror to change their mind

Question 4

what makes something an offer

Answer 4

1. objective, contextual interpretation
2. principles/rules established in case law

Question 5

what is not an offer

Answer 5

mere puffs - a boast about the product
mere request for info - “would you sell for 10”
invitations to treat

Question 6

Carlill v Carbolic Smoke Ball Co.

Answer 6

company claimed to pay if someone got ill while using product, they claimed it was a mere puff but the advertisement seems to be a genuine offer

Question 7

Pharmaceutical Society of GB v Boots

Answer 7

case law showing products on display in shops is an invitation to treat, not an offer

Question 8

Website purchases - offer and acceptance

Answer 8

online shopping on website is invitation to treat not an offer, the customers order is the offer and this is accepted by the trader

Question 9

exceptions to principle that ads/display do not equal an offer

Answer 9

automatic dispensing machines, online digital content purchases, where customer can take product and pay later, rewards (unilateral)

Question 10

auctions and offer/acceptance

Answer 10

general rule is that auctions are mere invitations to treat, not offers. However, if the advertisement of auction promises highest bidder will be accepted no matter how low, this is offer

Question 11

rules of acceptance

Answer 11

respond and match the offer
be communicated to offeror in appropriate manner

Question 12

Felthouse v Bindley [1862] 6 LT 85

Answer 12

shows positive manifestation of acceptance is required not “if i hear no more”

Question 13

Brogden v Metropolitan Rly Co [1887]

Answer 13

shows it is possible to accept offer through conduct, coal suppliers counter offer was filed by customer who then began taking delivery of coal

Question 14

Hyde v Wrench

Answer 14

case which shows a counteroffer kills an earlier offer

Question 15

Stevenson, Jacques & Co v Mclean

Answer 15

mere request for info versus counter offer

Question 16

The last shot rule

Answer 16

the contract is on the terms of the party who sent the last set of terms met with no objection

Question 17

limits to last shot rule

Answer 17

when there is no conduct that could count as acceptance
where the party is making it clear they reject terms

Question 18

conversational acceptance

Answer 18

words of acceptance only effective if they actually come to offerors attention unless it is reasonable for the offeror to detect communication problem

Question 19

postal acceptance

Answer 19

acceptance deemed effective as soon as placed in post, however to withdraw an offer, this must be received to take effect

Question 20

instantaneous methods of communication

Answer 20

deemed effective when they are received

Question 21

stipulating a method of communication

Answer 21

an offeror can require a method of acceptance be used, unless wording is clear any method “no less advantageous” is ok

Question 22

revocation of offers

Answer 22

generally, can be revoked any time before acceptance is communicated
with unilateral - once performance is done, offer cannot be withdrawn