What is an offer?
Unequivocal expression of willingness to be legally bound immediately upon the other party’s acceptance. Differs from mere invitations to treat and jokes/sales talk.
What is usually debated in debates around sales talk? What case?
whether a statement has legal effect as a term e.g ‘fertile and improvable’ held to be ‘mere flourishing description’ Dimmock v Hallett.
Are reward ads legally binding? What case?
Carlill v Carbolic Smoke Ball Co Argued advert promising reward was mere puff however CoA disagreed.
What is the importance of language when making an offer? Three cases?
Word ‘offer’ not decisive Clifton v Palumbo. However, language crucial: Gibson v Manchester CC ‘May be prepared to sell’ (non-offer) vs Storer v Manchester CC ‘I will send you the agreement signed’ (offer).
Invitations to treat that do constitute offers? Two cases?
- Automatic departments machines Thornton v Shoe Lane Parking
- Digital content purchase where clicking order triggers download/streaming
- Customer can take product and pay later Chapelton v Barry UDC
- Advert offering a reward for doing something (unilateral)
When does an offer cease to be valid? What case?
- lapse of time
- death
- offer revoked (even if offeror promised to hold offer open until a later date Routledge v Grant)
- implied revoke when counter offer is made
What is Acceptance?
A valid communication in response to the offer including an unequivocal intention to be immediately bound by the terms of an offer. Must respond to and match the offer.
What about if identical cross offers are made? What case?
Identical offers made in ignorance ‘cross-offers’ do not create a contract Tinn v Hoffman.
What is a non-matching offer? What case?
A non-matching response is a counter-offer) which can be accepted in its own right and destroys earlier offer Hyde v Wrench
Is a request for information a counteroffer? What case?
Request for information is not a counteroffer Stevenson, Jacques & Co v McLean.
What if someone assumes there is an agreement in the other persons silence? What case?
Cannot impose contractual liability on another by saying they will assume there is an agreement Felthouse v Bindley
How can you manifest acceptance? What case?
By performing the contractual obligations Brogden v Metropolitan
What if there are multiple conversations/drafts of the contract? What two case?
- Last shot rule Butler Machine Tool v Ex-Cell-O
- only applies if the parties have started to perform and not if they are still negotiating British steel v Cleveland Bridge
Can the offerer decide in what way the acceptance should be communicated? What case?
- Offeror can stipulate acceptance should be communicated by a certain method but must be explicitly clear Manchester Diocesan Council.
