Offers + Acceptance Flashcards
What is an Offer?
A statement by a party or their willingness to contract on firm and definite terms
- Can be written, oral, or through conduct
What is a bilateral offer?
An offer made to specific/one individual
What is a Unilateral Offer?
- case?
An offer made to multiple/world in general
- Carlill v Carbolic Smoke Ball Company
What is an Invitation to Treat? (ITT)
Expression of Party’s willingness to enter negotiations
- Gibson v Manchester City Council
What are some examples of Invitations To Treat (ITT)
- Advertisements (Partridge v Crittenden)
- Goods in shop window (Fisher v Bell)
- Lots at auctions (British car auctions v Wright)
How can offers end?
- Revocation
- Counter offers
- Lapse of time
- Rejection
- Death
Explain Offer Revocation
- With cases
An offer withdrawn before acceptance
- must be communicated to offeree (Byrne v Van Tienhoven
- Cannot be revoked during acceptance (Errington v Errigton)
Explain Counter Offers
- With cases
Counter offers extinguish original offer
- Hyde v Wrench
Explain Offers and Death
- With cases
Death ends offer unless it can be performed by another person and the offeree is unaware of offerors death
- Bradbury v Morgan
Explain Offer Rejection
Rejection by Offeree ends the offer
Explain Offers and Lapse of Time
- With cases
If offer is open for specific time, it cant be accepted after time has elapsed
If no time is set, a reasonable time is implied
- Ramsgate Victoria Hotel v Montefiore
What is Acceptance?
The offeree accepting all of the terms put forward by the offeror. Once offer accepted, a contract is formed.
How is Acceptance done?
- with cases
Must be positive act
- Felthouse v Bradley
By conduct
- Carlill v Carbolic Smoke Ball
What is the Postal Rule?
- with cases
Acceptance takes place when letter is posted
- Adams v Lindell
Explain Electronic Acceptance communication methods
- with cases
Acceptance happens when offeror is aware of acceptance
- Entores v Miles Far East
Acceptance when message has been opened
- Brinkibon and Stahag Stahl