claw_notes - CLAW1001 Mid-Semester Exam FORMATION OF A...

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CLAW1001 Mid-Semester Exam FORMATION OF A CONTRACT Offer: “a clear statement of the terms upon which an offeror is prepared to be bound” Carlill v Carbolic Smoke Ball i. Offer must be distinguished from mere puffery (statement made to induce, not reasonably believable, designed to draw attention to product) o Leonard v Pepsico o Carlill v Carbolic regarded as offer because of specific details in ad, offer by manufacturer (not supplier) who has more control/responsibility of product function ii. Offer distinguished from an ‘invitation to treat’ (no definite declaration) o Advertisements: Granger v Gough , goods for sale in catalogue/newspaper/magazine; Partridge v Crittendon o Goods on display in shop: Fisher v Bell o Goods on display in self-service shop: Pharmaceutical Society of GB v Boots Cash Chemist (offer made by customer and acceptance occurs at register by pharmacist) o Automatic vending machines/ticket booths not invitation to treat Thornton v Shoe Lane Parking iii. Offer must be communicated o Unless communicated to offeree, can be no acceptance o Performance of an act without knowledge of offer not acceptance (reliance on offer) iv. Offer can be revoked at any time before acceptance o Revocation : Communication for revocation can be made directly by offeror or per some other ‘reliable source’ Dickinson v Dodds Offeror’s right to revoke is absolute (even if promise is made to keep offer
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