Offer, ITT, Acceptance Flashcards
Define offer
Statement of the terms upon which the person making the offer is willing to enter a contract. Can be written or verbal. It can be made to a person or the whole world at large
CARLIL
Define ITT
An indication of a willingness to start negotiations and not an offer.
ITT
Ad in newspaper or magazine
Case
POL: These are usually considered to be an ITT, NOT an offer.
PARTRIDGE V CRITTENDEN (used literal rule)
ITT
Shop Window
Case
POL: Goods in a shop window is an ITT, not an offer.
FISHER BV BELL (literal rule)
ITT
Self service shop
CASE
POL: ITT not offer
PHARMACEUTICAL SOCIETY OF GB V BOOTS CASH CHEMIST (literal rule)
ITT
Auctions
Case
POL: The auctioneer makes an ITT and the bidders make an offer.
HARVEY V NICKERSON
ITT
Giving information
Case
POL: Giving in to does not amount to an offer
HAREVY VF FACEY
ITT
Uncertain terms
Case
POL: A statement is not an offer if the words used show uncertaintity as to whether there is willingness to make a contract
GIBSON V MANCGESRER CITY COUNCIL.
Offer
Vending machines
Case
Vending machine makes the offer
THORTON V SHOE LANE PARKING
Offer
Advertisements for UNILATERAL contacts
Case
- those offering a reward for the return of lost property
- info for arrest of criminal
CARLILL V CARBOLIC SMOKE BALL CO.
Exceptional rules which apply to unilateral contracts established in CARLILL.
1) If ad request performance of an act then ad will be an offer.
If ad includes a course of action then it’s likely to be an offer
Communication of the offer
POL: An offer cannot be accepted unless the person who is seeking to accept it knows of its existence.
Ending an offer
- Lapse of time
Case
POL: Some offers are made for a fixed period of time, most offers do not have any fixed time limit and so will come to an end after a REASONABLE time.
Reasonable depends on circumstances.
RAMSGATE VICTORIA HOTEL V MONTEFIORE
Ending an offer
Revocation
Case
POL:
* A person who makes the offer can revoke at any time before acceptance.
* The person to whom the offer was ,are must receive notification of the withdrawal.
* The revocation must be made in a similar way to the offer.
ROUTLEDGE V GRANT
DICKINSON V DODDS
POL: Revocation can be via a third party.
ERRINGTON V ERRINGTON
POL: There can be no revocation once performance has begun.
End of an offer
Rejection
POL: Once an offer is rejected it cannot be accepted, and the offer comes to an end.
POL: The rejection of the offer must be communicated.
STEVENSON V STEVENSOM
POL: The rejection must be a clear rejection and not a request for more info.
Counter offer
Case
POL: Both rejects original offer and creates a new offer. Has to be effectively communicated.
HYDE V WRENCH
Death of the offeror
BRADBURY V MORGAN
The offer lapses and cannot be accepted after the offerees death by his representative
Define acceptance
The acceptance has to be positive and unqualified.
Acceptance can be by:
Words - said or written
Conduct - in general silence cannot be acceptance, some positive act is needed.
Unilateral Contracts - accepted by conduct
Acceptance POL
Must be communicated to the person making the offer.
Specific methods of acceptance
When is it not allowed?
POL: If an offeror states that his offer must be accepted in a particular way then only acceptance by that method will be binding.
TIN V HOFFMAN.
Where specific method has been included to benefit offeree, not obliged to accept that way.
YATES V PULLEYN
Methods of communication of acceptance.
1) Conduct
In general silence or inaction cannot be acceptance, positive act needed
FELTHOUSE V BINDLEY
Positive conduct can be acceptance.
CARLILL V CARBOLIC SMOKE BALL.
Methods of communication of acceptance.
Communication of acceptance by post / The Postal Rule
- only apply to letters of acceptance.
- the postal rules only apply if the post is the usual method of communication or stated as the only way.
- Acceptance takes place when a correctly stamped and addressed letter is posted, if not correctly addressed and stamped then acceptance will take place when it arrives
- claimant must be able to prove the letter was posted
ADAMS V LINDSELL
Exceptions of the postal rule
POL: An offeror may avoid the postal rule by making it a term of their offer that acceptance will only take effect when it is communicated to him.
HOLWELL SECURITIES V HUGHES
Electronically and instantaneous forms of communication ?
ENTORES V MILES FAR EAST CORPORATION
POL: Acceptance by telephone took place when it was received not sent.
BRINKIBON
Instantaneous communication takes effect at the time when the offeror is could reasonably have expected to read it.
MONDIAL SHIPPING & CHARTERING
If communication is a business and arrives out of office hours, will be communicated by next working day.