Livingstone v. Evans - going back to the original terms,...

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Livingstone v. Evans 4 D.L.R. 169 (Alberta Supreme Court, 1925) Fact: Operative Facts: Evan wrote (through his agent) to Livingstone that he would sell the land for $1800 on terms. Lingingstone wrote back “Send Lowest cash price. Will give $1600 cash. Wire.” Evan replied “Cannot reduce price.” And then Lingingstone sent a telegram accepting it. Issue: Was there a contract? Rule: When an offer is replace with a counter-offer. The original offer is rejected. Rational: First, the offer of $1800 was the first offer. It was rejected and a counter offer of $1600 came up. There was also an inquiry of “send lowest cash price.” Since this is a counter offer, Evan’s reply was “cannot reduce price.” This can be looked as either a counter offer going back to the original terms, or, just not accepting the counter offer, and answering the inquiry. If it was
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Unformatted text preview: going back to the original terms, then there is a binding contract, because it was accepted. If it was just a rejection, then there is no contract. Holding: Court held that it was considered a counter offer going back to the original terms because it clearly refers to the first one. Synthesis: Hyde v. Wrench (1840) defendant offered to sell $1000. Plaintiff stated that hell pay $950. By doing that he rejected the offer previously made by the defendant. He cant revive the proposal of the Defendant by tendering an acceptance to it. Stevenson v. McLean (1880) Held that, the letter was not a new proposal but a mere inquiry, which should have been answered and not treated as a rejection. But the judge said that if it had contained an offer it would have been a counter offer. Dissent/Concurrences:...
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This note was uploaded on 12/20/2011 for the course CONTRACTS 111 taught by Professor Dellinger during the Fall '11 term at Western State Colorado University .

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