Cards (9)

  • Unilateral contract - Only one of the two parties has an obligation to fulfil
  • Bilateral contract - Both parties have an obligation to fulfil
  • Offer: Statement of terms upon which the person making the offer is willing to enter the contract
    • Can be verbal or written
  • 1. Words of the offer must be certain
    • It must be clear an offer is being made - words such as 'might be' or 'may be able to' are uncertain and therefore cannot be an offer (Gibson v MCC)
  • 2. Who can make an offer
    • An offer can be made by anyone - this includes individuals and businesses
    • Offers can be made by notice or at a machine - Thornton v Shoe Lane Parking
  • 3. How long an offer lasts
    • Offers can only be accepted when they are open - some contracts specify the amount of time the offer will be open for
    • The offer is open once it is communicated by the offeror - Taylor v Laird
    • The courts will look at timing on a case-by-case basis if the offer is still open - Stevenson v McLean
  • 4. Invitation to Treat
    • ITT is an indication that the person is willing to negotiate a contract, so you are inviting people to make you the offer - these cannot be accepted
    • Adverts are an ITT - Partridge v Crittenden
    • Adverts can be an offer in a unilateral contract (these are usually a reward for doing something) - Carlill v Carbolic Smokeball Co
    • Items on display in a shop window or on a shop shelf are an ITT, sellers are not obligated to sell items to customers - Fisher v Bell
    • Auctions are an ITT - BCA v Wright
  • Request for further information
    • This is not an offer as it is an enquiry - Harvey v Facey
  • How an offer can end
    • Revocation: You can revoke an offer at any time unless it has been accepted, this must occur before acceptance - Routledge v Grant
    • Rejection: If an offer is rejected, it will end - Stevenson v McClean
    • Lapse of time: If the offer has a time limit, then the offer will end at the end of this period - Ramsgate Victoria Hotel
    • Death: Death of the offeror will only end the offer if the offeree knows the person making the offer has died
    • Acceptance: If the offer has been accepted, there is an agreement