Offer and Acceptance Flashcards

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1
Q

How can an offer be terminated?(5)

A
  • revocation
  • rejection by other party
  • lapse of time
  • occurence of a stipulated event
  • death
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2
Q

Which judge criticised the offer and acceptance rule in what case?

A

Lord Denning in

Gibson v Manchester City Council 1978

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3
Q

What did Lord Denning inGibson v Manchester City Council 1978 say in regards to his criticism of the offer and acceptance rule?

A

he said that ‘you should look at the correspondence as a whole’

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4
Q

What did Lord Wilberforce say in regards to the offer and acceptance rule in New Zealand Shipping Co Ltd?

A

that the ‘technical and schematic doctrine of contract’ often comes ‘at the cost of forcing facts to fit uneasily into the marked slots of offer, acceptance and consideration’

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5
Q

Who said that the ‘technical and schematic doctrine of contract’ often comes ‘at the cost of forcing facts to fit uneasily into the marked slots of offer, acceptance and consideration’ and in what cas?

A

Lord Wilberforce

New Zealand Shipping Co Ltd

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6
Q

What case is an example of how not all cases can be analysed into terms of offer and acceptance?

A

The Santanita

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7
Q

What happened in the case of ‘The Santanita’?

A

both the plaintiff and the defendant entered their Yacht in a regatta, agreeing to be bound by the sailing rules, however in breach of this they sank the plaintiffs yacht
While the parties reached agreement, Treital in The Law of Contract suggests that they did not do so by a process which can be analysed into offer and acceptance

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8
Q

Why does there need to be clear rules?

A

in order for lawyers and their clients to know where they stand and thus a general reluctance to abandon the whole rules in their entirety

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9
Q

Which European principle recognises that offer and acceptance is the usual model for the creation of a contract?

A

the Unidroit Principles of International Commercial Contracts s.2 Article 2

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10
Q

What is the consensus academic opinion of when an offer is made at a restaurant?

A

a menu amounts to an invitation to negotiate, not an offer

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11
Q

Why may the classical contract law model not fit with the practise of many commercial parties?

A

since relationships evolve rather than suddenly springing into existence and does not capture the dynamic nature f the relationship between the parties

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12
Q

Why are some commercial contracts rather vague?

A

in order for contracting parties that anticipate a long term relationship to deal with the future unanticipated problems that may arise

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13
Q

What are the offer and acceptance rules linked with?

A

the will theory of contract

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14
Q

When did the will theory develop?

A

19th century

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15
Q

Name 2 influential exponents of the will theory

A

French jurist Robert Pothier and

the German jurist Friedrich von Savigny

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16
Q

What did Professor Ibbetson state in regards to the Will theory?

A

that ‘the great merit of the Will Theory was that it had a measure of intellectual coherence that the traditional common law wholly lacked, though this coherence had been to some extent bought at the expense of common sense

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17
Q

Who said
that ‘the great merit of the Will Theory was that it had a measure of intellectual coherence that the traditional common law wholly lacked, though this coherence had been to some extent bought at the expense of common sense

A

Professor Ibbetson

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18
Q

What kind of contract does the adoption of the will theory pose ?

A

unilateral contracts

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19
Q

What happened in the case of Harvey v Facey?

Under ‘Has an offer been made’

A

the plaintiffs sent a telegraph to the defendant asking for the lowest cash price the defendant would take for it. The defendant replied to which the plaintiffs agreed to buy, and the defendant did not reply
it was held that there was no contract as the first telegraph was merely a request for information

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20
Q

the plaintiffs sent a telegraph to the defendant asking for the lowest cash price the defendant would take for it. The defendant replied to which the plaintiffs agreed to buy, and the defendant did not reply
it was held that there was no contract as the first telegraph was merely a request for information
What case is this in which area?

A

Harvey v Facey?

Under ‘Has an offer been made’

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21
Q

What happened in the case of Gibson v Manchester City Council?
Under ‘Has an offer been made’

A

the defendant city council had adopted a policy of selling council houses to its tenants. The application letter stated that it did not amount to a firm offer and invited the claimant to make a formal application. Following local elections the council moved to a Labour administration which refused to sell houses unless a binding contract was in place
HOL held that there was no contract as the council’s letter was not an offer but an invitation to treat and had not yet been accepted

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22
Q

the defendant city council had adopted a policy of selling council houses to its tenants. The application letter stated that it did not amount to a firm offer and invited the claimant to make a formal application. Following local elections the council moved to a Labour administration which refused to sell houses unless a binding contract was in place
HOL held that there was no contract as the council’s letter was not an offer but an invitation to treat and had not yet been accepted

What case is this under what topic?

A

Gibson v Manchester City Council?

Under ‘Has an offer been made’

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23
Q

What is the general rule to advertisements?

A

they are an invitation to negotiate, not an offer

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24
Q

What is the leading case under advertisements?

A

Partridge v Crittendon

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25
Q

What happened int eh case of Partridge of Crittendon?

advertisements

A

Facts: D advertised the sale of wild birds which was unlawful to offer under the Protection of Birds Act 1954
Held: Court held the advertisement was not an offer but an invitation to treat, not guilty. The legislation chose the phrase “offer for sale” and to adopt a different understanding would be to usurp their function as parliament

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26
Q

Facts: D advertised the sale of wild birds which was unlawful to offer under the Protection of Birds Act 1954
Held: Court held the advertisement was not an offer but an invitation to treat, not guilty. The legislation chose the phrase “offer for sale” and to adopt a different understanding would be to usurp their function as parliament
What case is this under what area?

A

Partridge of Crittendon?

advertisements

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27
Q

in what case did the HOL state that both reasonableness and objective intention are key to distinguishing between an offer and an invitation to treat?

A

Grainger and Son after the claimant tried to state that the defendant made an offer in the case of a price-list distributed by the merchant

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28
Q

What happened int eh case of grainger and son under advertsiesmrtns?

A

he claimant tried to state that the defendant made an offer in the case of a price-list distributed by the merchant

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29
Q

What Act makes provisions for a range of offences which may be committed by a trader who provides misleading information of various types to consumers

A

Consumer Protection from Unfair Trading Regulations 2008

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30
Q

What case proves that The conclusion that an advertisement is an invitation to negotiate is however not an invariable one

A

Carlill v Carbolic Smoke Ball Company 1893 - unilateral contract

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31
Q

What happened in the case fo Carlill v Carbolic Smoke Ball Company 1893 under advertisements?

A

Facts: Company sold a product claiming that if it did not cure influenza it would pay £100 to its buyers. The company was sued when this did not work but argued that the ad was not to be taken seriously as a legally binding offer but merely an invitation to treat, a gimmick
Held: it would appear to the reasonable man that the company made a serious, unilateral offer to the entire world. The performance of the company’s conditions is the acceptance of this offer

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32
Q

What did Bowen LJ say in regards to the extravagance of the promise made in Carlil v Carbolic Smoke Ball Company?

A

‘the extravagance of the promises is no reason in law why he should not be bound by them”

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33
Q

Which judge said ‘the extravagance of the promises is no reason in law why he should not be bound by them” in Carlil v Carbolic Smoke Ball Company?

A

Bowen LJ

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34
Q

What did Professor Simpson say about the importance of Carlil ?

A

that ‘it is historical; it was the vehicle whereby a new legal doctrine was introduced into the law of contract

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35
Q

Which case is generally cited as authority for the existence of the doctrines of intention to create legal relations?

A

Balfour v Balfour

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36
Q

What case upheld the COA decision in Carlil?

A

Bowerman v Association of British Travel Agents

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37
Q

What happened in the case of Bowerman, and the judegemtn of it

A

the plaintiffs booked a holiday but before it began the tour operator became insolvent and displayed in the premises that they would be reimbursed.
It was held by Hobhouse LJ that the defendants arguments in the present case had no greater validity than those advanced in Carlil.

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38
Q

the plaintiffs booked a holiday but before it began the tour operator became insolvent and displayed in the premises that they would be reimbursed.
It was held by Hobhouse LJ that the defendants arguments in the present case had no greater validity than those advanced in Carlil.

What case is this?

A

Bowerman

advertisements

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39
Q

What were the two key issues in Carlil?

A

1) the identifiaction of the acceptance

2) the communcationof the acceptance

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40
Q

ON which two grounds did the COA reject the defendants appeal in Carlil that there was no consideration and thus no contract?

A

1) the benefit that the defendants gained as a result of the use of the smoke ball in response to the advertisements
2) the use of the smoke ball three times a day constituted a detriment to the claimant

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41
Q

What is the general rule in relation to the display of goods for sale in a shop?

A

that the display constitutes an invitation to negotiate and not an offer. the leading case is:
Pharmaceutical Society of GB v Boots Cash Chemists 1953

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42
Q

What is the leading case for the displays of goods for sale in a shop?

A

Pharmaceutical Society of GB v Boots Cash Chemists 1953

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43
Q

Pharmaceutical Society of GB v Boots Cash Chemists 1953

under what topic is this the leading case?

A
  • has an offer been made

display of goods for sale in a shop window

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44
Q

What happened in the case of Pharmaceutical Society of GB v Boots Cash Chemists 1953?

A

Facts: Pharamacy and Poisons Act 1933 requires the supervision of a registered pharmacist for the sale of any item on the poisons list
Held:D was not in breach of the act as the display of goods on shelves was not an offer accepted once the customer selected the item but only when payment was taken

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45
Q

Facts: Pharamacy and Poisons Act 1933 requires the supervision of a registered pharmacist for the sale of any item on the poisons list
Held:D was not in breach of the act as the display of goods on shelves was not an offer accepted once the customer selected the item but only when payment was taken

What case is this under which topics?

A

when has an offer been made
display of goods
Pharmaceutical Society of GB v Boots Cash Chemists 1953

46
Q

What did Lord Goddards CJ at first instance not in the case of Pharmaceutical Society of GB v Boots Cash Chemists 1953?

A

that picking up a bottle of medicine from a shelf ‘does not amount an acceptance of an offer to sell, but it is an offer by the customer to buy”

47
Q

that picking up a bottle of medicine from a shelf ‘does not amount an acceptance of an offer to sell, but it is an offer by the customer to buy”
which judge said this in the case of
Pharmaceutical Society of GB v Boots Cash Chemists 1953?

A

Lord Goddards CJ

48
Q

What happened in the case of Fisher v Bell?

display of goods

A

he defendant was charged with the offence of offering for sale a flick knife, contrary to s/1 of the Restriction of Offensive Weapons Act 1959. He displayed the knife in the shop window with a price ticket.
Held: the defendant had not committed the offence as he had not offered it for sale.

49
Q

he defendant was charged with the offence of offering for sale a flick knife, contrary to s/1 of the Restriction of Offensive Weapons Act 1959. He displayed the knife in the shop window with a price ticket.
Held: the defendant had not committed the offence as he had not offered it for sale.

What case is this under which topic?

A

fisher v bell

display of goods

50
Q

In what type of cases will the display of goods in a shop window amount to an offer?

A

in those cases where the courts have held that the display of goods or an advertisement to the effect that goods will be sold at particular price, constitutes an offer

51
Q

What case is an example of how the display of goods in a shop window can amount to an offer?

A

Lefkowitz

52
Q

What happened in the case of Lefkowitz?

Display of goods

A

The defendant placed an advertisement in the paper for the sale of fur, statin g that it would be sold on a ‘first come first served’ basis. The claimant was the first to respond to the advertisement, but the defendant refused to sell on the basis that it was a ‘house rule’ to sell only to female customers.

The defendant therefore did not have the right to impose new conditions which were not contained in the published offer after acceptance.

the sale of Lapin fur was clear, definite and explicit, and left nothing open for negotiation.”

53
Q

What case cited in the judgement of Lefkowitz demonstrated a newspaper advertisement that constituted a an offer

A

Johnson v Capital City Ford Co

54
Q

Johnson v Capital City Ford Cp

what are the facts of this case?

A

in which the court pointed out that a newspaper advertisement relating to the purchase and sale of automobiles may constitute an offer, acceptance of which will consummate a contract and create an obligation in the offerer to perform according to the terms of the published offer”

55
Q

in which the court pointed out that a newspaper advertisement relating to the purchase and sale of automobiles may constitute an offer, acceptance of which will consummate a contract and create an obligation in the offerer to perform according to the terms of the published offer”

What case is this under which topics?

A

cited in the judgement of Lefkowitz

56
Q

What was the main point in the case of Lefkowitz

A

the sale of Lapin fur was clear, definite and explicit, and left nothing open for negotiation.” thus it was an offer

57
Q

Under the topic of display of goods in a shop, what did Professor Atiyah critique about the current modern social conditions of the law?

A

that ‘in the case of self serve shops, legal methods of reasoning probably mean that the law today is out of touch with modern social conditions, and also with public attitudes ‘

58
Q

who noted that ‘in the case of self serve shops, legal methods of reasoning probably mean that the law today is out of touch with modern social conditions, and also with public attitudes ‘?under which topic

A

Professor Atiyah

Display of goods

59
Q

In what case did Ralph JC note that website advertisement is in principle no different from a billboard outside a shop or an advertisement in a newspaper or periodical?

A

Chwee Kin Keong

60
Q

Chwee Kin Keong

What was the judgement of Ralph CJ in this case?

A

that website advertisement is in principle no different from a billboard outside a shop or an advertisement in a newspaper or periodical?

61
Q

What is the observation made from the judgement of Ralph JC in Chwee Kin Keong that website advertisement is in principle no different from a billboard outside a shop or an advertisement in a newspaper or periodical?

A

this seems to create a default rule that website advertisement is an invitation to treat and not an offer

62
Q

Why may judges be reluctant to conclude that an advertisement on a website is an offer?

A

due to the potential range in liability

63
Q

What is a tender?

A

The practice of inviting parties to tender, or to bid, for a particular project

64
Q

Is a tender an offer or an invitation to treat?

A

thisdepends on the facts of the case

65
Q

IN common law what is the general rule regarding what a tender is?

A

the general rule is that the invitation to tender is not an offer but an invitation to negotiate- Spencer v Harding

66
Q

Which case demonstrates that at common law the general rule is that the invitation to tender is not an offer but an invitation to negotiate?

A

Spencer v Harding

67
Q

What happened in the case of Spencer v Harding under the topic of tenders

A

: D advertised a sale by tender. The claimant submitted the highest tender but D refused to sell
Held: Unless the advertisement specifies that the highest tender would be accepted then there is no obligation to sell to the person submitting the highest tender

68
Q

: D advertised a sale by tender. The claimant submitted the highest tender but D refused to sell
Held: Unless the advertisement specifies that the highest tender would be accepted then there is no obligation to sell to the person submitting the highest tender

What case is this under which topic?

A

Spencer v Harding

tenders

69
Q

What is an example of a case in which the courts haveconcluded that the invitation to tender did in fact contain within it an offer?

A

Blackpool&Flyde Aero Club Ltd v Blackpool Borough Council

70
Q

What happened in the case of Blackpool&Flyde Aero Club Ltd v Blackpool Borough Council
which is an example of when he courts have concluded that the invitation to tender did in fact contain within it an offer

A

The tender invitation had a clause stating tenders would not be considered if they missed the time and date deadline stipulated. Plaintiff’s tender was not considered even though it was posted at 11am, and thus brought an action for breach of contract as it was the council staff who failed to clear the letter box by 12pm that day.
Dismissed D’s appeal as while the invitation to submit a tender was usually no more than an offer to receive bids, in this circumstance the behaviour of the parties created clear intention to create a contract and thus failure to consider the plaintiff’s application made D liable. Negligent

71
Q

Which judge in Blackpool&Flyde Aero Club Ltd v Blackpool Borough Council stated that submitting a tender before a deadline is ‘not a matter of mere expectation but of contractual right’ ?

A

Bingham LJ

72
Q

What did Bingham LJ say in Blackpool&Flyde Aero Club Ltd v Blackpool Borough Council

A

that submitting a tender before a deadline is ‘not a matter of mere expectation but of contractual right’

73
Q

What were the 3 significant factors in Blackpool? (tenders)

A

the invitation to tender was addressed to a small number of interested parties;
the tender procedure was ‘clear, orderly and familiar’
the outcome was, in the opinion of the court, consistent with the ‘assumptions of commercial parties’

74
Q

What case demonstrates where there has been a loss of chance?
Topic of tenders

A

Chaplin v Hicks

75
Q

What are the facts of Chaplin v Hicks?

-tenders

A

In this case Chaplin entered the competition and came first in her group thereby affording her the opportunity to be considered as a finalist but the letter to go to the next stage arrived late.
Held: 100k in damages. Hicks’ breach of contract meant she could no longer be so considered. The loss of the chance of winning such a lucrative prize was a breach which afforded her the right to substantial, and not merely nominal damages.

76
Q

In this case Chaplin entered the competition and came first in her group thereby affording her the opportunity to be considered as a finalist but the letter to go to the next stage arrived late.
Held: 100k in damages. Hicks’ breach of contract meant she could no longer be so considered. The loss of the chance of winning such a lucrative prize was a breach which afforded her the right to substantial, and not merely nominal damages.

What case is this under which topic?

A

Chaplin v Hicks

tenders

77
Q

What was the HOL decision in Harvela Investments?

A

that the invitation to tender was an offer

78
Q

What are the facts of Harvela under tenders?

A

Facts: Claimant made a bid for a fixed sum and the second defendant made a referential bid of $101,000 in excess of any other bid to the first defendant who was selling shares in a company and stated that the highest bid would win. 
Held: HOL held that the referential bid was invalid, with the first defendant being bound to accept their tender. It would otherwise undermine the purpose of a sealed tender

79
Q

Facts: Claimant made a bid for a fixed sum and the second defendant made a referential bid of $101,000 in excess of any other bid to the first defendant who was selling shares in a company and stated that the highest bid would win. 
Held: HOL held that the referential bid was invalid, with the first defendant being bound to accept their tender. It would otherwise undermine the purpose of a sealed tender
What case is this under what topics?

A

Harvela Investments

tenders

80
Q

explain the decision of Harvela under topic of tenders

A

the first defendants assumedan obligation to enter into a contract to sell shares to the promisee who submitted the highest bid in accordance with the terms of the invitation
The unilateral contract concluded with the successful bidder would thus be transformed into a binding bilateral contract

81
Q

What are the 4 important cases under tenders

A

spencer v harding
Blackpool Aero Club v Blackpool Borough Council
Chaplin v Hicks
harvela

82
Q

What are the 4 cases under the display of goods for sale in a shop

A

Lefkowitz
Chwee Kin Keong
Fisher v Bell
Pharmaceutical Society of GB v Boots Cash Chemists 1953

83
Q

What are the 2 cases under advertisements

A

Partridge v Crittenden

Carlill v Carbolic Smoke Ball

84
Q

What is the main case under auctions?

A

Barry v Davies

85
Q

What happened in the case of Barry v Davies? under auctions

A

The auctioneer failed to obtain bids of £5000 and £3000, upon which the claimant bid £200 for each machine, but the auctioneer refused to accept these bids and withdrew the machines from auction.
Held:The Court held that the holding of an auction for sale without reserve is an offer by the auctioneer to sell to the highest bidder, so the defendant was contractually obliged to sell to the claimant.
There was consideration in the form of detriment to the bidder, as his bid could not be accepted unless and until it was withdrawn, and benefit to the auctioneer as the price was driven up (and also that attendance at the auction is likely to increase if it is said that there is no reserve).

86
Q

The auctioneer failed to obtain bids of £5000 and £3000, upon which the claimant bid £200 for each machine, but the auctioneer refused to accept these bids and withdrew the machines from auction.
Held:The Court held that the holding of an auction for sale without reserve is an offer by the auctioneer to sell to the highest bidder, so the defendant was contractually obliged to sell to the claimant. There was consideration in the form of detriment to the bidder, as his bid could not be accepted unless and until it was withdrawn, and benefit to the auctioneer as the price was driven up (and also that attendance at the auction is likely to increase if it is said that there is no reserve).

What case is this under what topic?

A

Barry v Davies auctions

87
Q

In the case of Barry v Davies under auctions, what kind of contract was initially made between the auctioneer and the highest bidder which constituted an offer?

A

a collateral contract

88
Q

What does Sir Murray note about the Sale of Goods Act 1893 in regards to the case of Barry v Davies?

A

that it is not lawful for the seller to bid himself or to employ any person to bid at the sale
-and thus withdrawing the lot from sale is tantamount to bidding on behalf of the seller

89
Q

What case was just in Barry v Davies to justify the courts decision?

A

Warlow v Harrison

90
Q

What happened ni the case of Warlow v harrison which the courts used in the case of Barry v Davies to justify the courts decision?

A

The plaintiff had bid for a pony at the defendant’s auction, but had been sold by the auctioneer defendant, accepting the higher bid of the owner himself. There was no reserve. He appealed against rejection of his claim against the auctioneer.
Held: The appeal failed on the existing pleadings, but succeeded after the court allowed an amendment. Baron Martin held “it seems to us that the highest bona fide bidder at an auction may sue the auctioneer as upon a contract that the sale shall be without reserve.”

91
Q

The plaintiff had bid for a pony at the defendant’s auction, but had been sold by the auctioneer defendant, accepting the higher bid of the owner himself. There was no reserve. He appealed against rejection of his claim against the auctioneer.
Held: The appeal failed on the existing pleadings, but succeeded after the court allowed an amendment. Baron Martin held “it seems to us that the highest bona fide bidder at an auction may sue the auctioneer as upon a contract that the sale shall be without reserve.”

What case is this under what topic

A

wallow v harrison

auction

92
Q

What case upheld the court decision in Warlow v Harrison (tenders) which was also used to justify the case in Barry ?

A

Johnston v Boyles

93
Q

what was the main difficulty in the case of Barry v Davis?

A

in the identification of consideration

94
Q

Who has defined acceptance as being a ‘final and unqualified expression of assent to the terms of the offer?

A

H Beale

95
Q

How did H Beale define acceptance?

A

as ‘a final and unqualified expression of assent to the terms of an offer.

96
Q

What are the two clear principles of acceptance?1

A

1) acceptance must be both final and unqualified

2) acceptance must generally be communicated to the offeror

97
Q

What happened in the case of Hyde v Wrench 1840 under what constitutes an acceptance?

A

the defendant offered to sell his farm to the plaintiff for £1,000. The Plaintiff offered to buy it for £950 but the defendant refused to do so. The plaintiff then wrote to D agreeing to pay £1,000 but D never replied. It was held that there was no contract

98
Q

the defendant offered to sell his farm to the plaintiff for £1,000. The Plaintiff offered to buy it for £950 but the defendant refused to do so. The plaintiff then wrote to D agreeing to pay £1,000 but D never replied. It was held that there was no contract

what case is this under which topic>

A

Hyde v Wrench 1840 under what constitutes an acceptance

99
Q

What happened in the case of Stevenson Jaques v McLea?

A

Facts: D wrote to P willing to sell iron to P and stated that the offer was open for a period of time. On the last day of that period the plaintiffs telegraphed to the defendant asking if they would accept 40 for delivery over 2 months or if not longest limit they would give. Later that day the defendant sold the iron to a third party and alerted P. Before P received the telegram they found a buyer for the iron and accepted the defendants offer to sell. Ds refused to deliver the iron and P sued for non delivery
Issue: The defendants argued that Ps first telegram was a rejection of Ds offer so their offer was no longer for acceptance when Ps purported to accept it later that day.
Held: Lush LJ rejected Ds argument and their reliance upon Hyde v Wrench, he concluded at p350:
Ps asked a question “There is nothing specific by way of offer or rejection, but a mere inquiry which should have been answered and not treated as a rejection of the offer. This ground of objection therefore fails”

100
Q

Facts: D wrote to P willing to sell iron to P and stated that the offer was open for a period of time. On the last day of that period the plaintiffs telegraphed to the defendant asking if they would accept 40 for delivery over 2 months or if not longest limit they would give. Later that day the defendant sold the iron to a third party and alerted P. Before P received the telegram they found a buyer for the iron and accepted the defendants offer to sell. Ds refused to deliver the iron and P sued for non delivery
Issue: The defendants argued that Ps first telegram was a rejection of Ds offer so their offer was no longer for acceptance when Ps purported to accept it later that day.
Held: Lush LJ rejected Ds argument and their reliance upon Hyde v Wrench, he concluded at p350:
Ps asked a question “There is nothing specific by way of offer or rejection, but a mere inquiry which should have been answered and not treated as a rejection of the offer. This ground of objection therefore fails”

What case is this under what topic?

A

Stevenson Jaceques v McLean

what constitutes acceptance?

101
Q

What happened in the case of Butler Machine Tool Co under the topic of what constitutes an acceptance?

A

Lord Denning MR:
Facts: Buyer wished to buy a machine from the Seller who sent a quotation with a copy of their terms which included a price variation clause and a term that the seller’s terms would prevail over any terms submitted by a purchaser. The buyer put in an order for the machine with their own terms which did not include the price variation clause and required a signature slip by the Seller to be returned to them which contained that the contract would be subject to the terms stated overleaf. Seller sought to enforce the price variation upon delivery which the Buyer refused to pay
Held: The offer to sell machines by the terms provided by the seller were destroyed by the counter offer made by the buyer which was concluded upon the Sellers’ signing of the slip

102
Q

Lord Denning MR:
Facts: Buyer wished to buy a machine from the Seller who sent a quotation with a copy of their terms which included a price variation clause and a term that the seller’s terms would prevail over any terms submitted by a purchaser. The buyer put in an order for the machine with their own terms which did not include the price variation clause and required a signature slip by the Seller to be returned to them which contained that the contract would be subject to the terms stated overleaf. Seller sought to enforce the price variation upon delivery which the Buyer refused to pay
Held: The offer to sell machines by the terms provided by the seller were destroyed by the counter offer made by the buyer which was concluded upon the Sellers’ signing of the slip

What case is this under what topic?

A

Butler Machine Tool Co under the topic of what constitutes an acceptance?

103
Q

Which case noted that ‘the counter offer kills the original offer’? (under what constitutes an acceptance)

A

Trollope & Colls

104
Q

Butler Machine Tool Co under the topic of what constitutes an acceptance what was the difference in judgements between Lord Denning and that of Bridge LJ and Lawton?

A

Bridge LJ and Lawton referred to the plain terms of the acknowledgement slip which the sellers had signed whereas Lord Denning rejected the traditional approach in identifying offer and acceptance by examining all the documents passing between the parties

105
Q

What case does this refer to?
Bridge LJ and Lawton referred to the plain terms of the acknowledgement slip which the sellers had signed whereas Lord Denning rejected the traditional approach in identifying offer and acceptance by examining all the documents passing between the parties

A

Butler Machine Tool Co under the topic of what constitutes an acceptance

106
Q

What is the advantages and disdvantages of Lord Denning rejecting the traditional approach in identifying offer and acceptance by examining all the documents passing between the parties in Butler Machine Tool Co under the topic of what constitutes an acceptance as opposed to Bridge LJ and Lawton referred to the plain terms of the acknowledgement slip which the sellers had signed ?

‘battle of the forms’

A

flexibility and commercial practicality The negotiation process can often be both complex and protracted and it can be difficult to analyse it in terms of offer and acceptance

Denning states that it suffices for the parties to reach agreement on all material points, but what is a material point>
the price of goods appears to be a material point yet the parties in Butler were not in agreement and nevertheless it was held to be a contract

107
Q

what are 3 examples of ways commercial parties ensure the contract is made on their own standard terms?

A
  • retention or title cause, seller remains owner until paid for
  • price escalation clause
  • making provision for the payment of interest on money owed by the seller
108
Q

What is an example of a case which was decided there was no contract concluded and thus the terms should not be anyalsed?

A

Mathieson Gee

109
Q

What happened in the case of Mathieson Gee under what constitutes an acceptance?

A

the defendant refused to pay for the work done by the pursors who offered and did remove deposit from Ds pond, as D claimed it was too expensive and were in breach of contract. The court held that there was no agreement and thus Lord Reid stated (at p.43) that ‘it is plainly an impossible task for the Court to find the terms of an agreement which never existed.

110
Q

the defendant refused to pay for the work done by the pursors who offered and did remove deposit from Ds pond, as D claimed it was too expensive and were in breach of contract. The court held that there was no agreement and thus Lord Reid stated (at p.43) that ‘it is plainly an impossible task for the Court to find the terms of an agreement which never existed.
What case is this under what topic?

A

Mathieson Gee under what constitutes an acceptance

111
Q

What are commonly used in commercial practise , particularly in the construction industry under what constitutes acceptance?

A

letters of intent