Offer and Acceptance

• An offer is a statement of the terms upon which a person is prepared to be bound by a contract. It is made by the offeror to the offer
• IF RELEVANT: A bilateral offer requires both parties to do something, for example an offer to pay money for goods (TAYLOR v LAIRD)
• IF RELEVANT: A unilateral offer requires just the offeror to do something, for example offering a reward for finding a lost cat (CARLILL v CARBOLIC SMOKE BALL).

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• IF RELEVANT: An invitation to tender will be classed as a unilateral offer, if the lowest/best price bid is to be accepted/all tenders are to be considered (BLACKPOOL AERO CLUB v BLACKPOOL BC). Other examples of unilateral offers are auctions without reserves (as there is only one outcome)

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• IF RELEVANT: An invitation to treat is not an offer and so cannot be accepted. It is an indication that one person is willing to negotiate, encouraging a bilateral offer from another. Examples (choose the relevant one) an advertisement (PARTRIDGE v CRITTENDEN), goods on display (FISHER v BELL, PHARMAECUTICAL SOCIETY OF GB v BOOTS), an auction with a reserve (BRITISH CAR AUCTIONS v WRIGHT) and giving information in response to a request, for example stating the price of something (HARVEY v FACEY)
• Here, e.g.... (IF THERE IS AN INVITATION TO TREAT DO NOT CONTINUE TO APPLY!)
• An offer must be communicated to the offeree (i.e, the offeree knows about it)- TAYLOR v LAIRD.

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• IF RELEVANT: For an offer to remain open until a particular date/time, the offeree must give consideration to the offeror, such as a deposit (ROUTLEDGE v GRANT)

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• An offer will usually end with a rejection or an acceptance. It can also end with a counter-offer (HYDE v WRENCH), revocation (BYRNE v VAN TIENHOVEN), lapse of time (RAMSGATE VICTORIA HOTEL v MONTEFOIRE), and death (BRADBURY v MORGAN)
• IF RELEVANT: If an offer ends through revocation, it must be communicated before acceptance, either by the offeror or a third party (DICKINSON v DODDS)
• (IF RELEVANT): If there is a unilateral offer, acceptance takes place on full performance (ERRINGTON v ERRINGTON and WOODS), and so revocation after this has commenced is not possible
• IF RELEVANT: If a party is aware that goods have been sold, this also counts as revocation.

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• (ONLY DISCUSS IF THERE HAS BEEN AN ACCEPTANCE):

  The acceptance must 'mirror the offer' i.e, reflect it exactly without modifications.

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• IF RELEVANT: It must be unconditional and communicated to the offeror by positive conduct and not silence (FELTHOUSE v BRINDLEY)

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• (IF RELEVANT): Where acceptance is required to be made in a certain way, it will generally be sufficient if it is made in an any other way, as long as it does not disadvantage the offeror (MANCHESTER DC v COMMERICAL AND GENERAL, YATES v PULLEYN).

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• IF RELEVANT: Acceptance can also be communicated through conduct (REVEILLE v ANOTECH)

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• IF RELEVANT: An exception is under 'the postal rule' where acceptance is communicated at the time of posting, not when the offeror receives it (BYRNE v VAN TIENHOVEN). It does not need to arrive, but the postal rule will not apply if the offeree makes a mistake in posting (GETREID v CONTIMAR). The postal rule can be excluded by the agreement of the parties (HOLWELL SECURITIES v HUGHES)

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• IF RELEVANT: For electronic methods, acceptance takes place when the offeror receives it, although the law is unclear and the exact time of acceptance depends on sound business practice and what is the reasonable expectation of the parties (BRINKIBON v STAHAG STAHL)

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• IF RELEVANT: An offer can be accepted even if the claimant was unaware the offer existed (GIBBONS v PROCTOR).

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  In Conclusion...