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Communication of the offer in writing orally or by

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Unformatted text preview: willingness to be bound Case: Clarke v Earl of Dunraven and Mount-Earl, Latimer at ¶5-130 2. A firm promise; and 3. Communication of the offer (in writing, orally or by conduct) • The offer may be directed to: one person, a group of people, or the world at large • Case: Carlill v Carbolic Smoke Ball Co offer to anyone who performed the condition was there an intention to be bound to the ‘offer’? deposit of £1000 into bank account “to show sincerity in the matter” see Latimer at ¶5-080 and ¶5-212 21 Counter-offers 22 Statements that are not offers • An offer must be distinguished from an invitation to treat • A counter-offer is a rejection of the original offer Case: Hyde v Wrench, Latimer at ¶5-300 • An invitation to treat is an offer to consider offers and cannot create an agreement 23 24 Invitation to treat Statements that are not offers • Look at intention of the parties • ASK: Is it an offer to consider an offer? • Case: Pharmaceutical Society of Great Britain v Boots Cash Chemists (Southern) Ltd, Latimer at ¶5-180 Invitation to treat: when you select goods from shelf – you are considering whether to make an offer to purchase Offer: at time you go to counter to pay Acceptance: when cashier accepts payment Invitation to treat can include: Auctions Advertisements Catalogues Price lists Announcements Goods on display in shop windows and shelves 25 25 26 Statements that are not offers Statements that are not offers Tenders Tenders are not normally offers unless the tender states its exact needs Acceptance of a tender will not necessarily result in binding contract unless tender calls for supply of goods or services in specific terms and over a specific period of time and acceptance of the tender is in direct response to those specific requirements Case: Spencer v Harding see Latimer at ¶5-200 Requests for Information A request for information is not a firm promise and so is not an offer It does not destroy the offer as it is only an attempt to obtain information 27 28 The Acceptance: Rules in relation to Acceptance What can you do with an offer? • • • • • Accept the offer Reject the offer Make a counter-offer: destroys the 1st offer Ask for further information Take no further action on the offer 1. Acceptance must be made strictly in response to the offer Case: R v Clarke, Latimer at ¶5-230 29 30 Rules in relation to Acceptance Rules in relation to Acceptance 2. Acceptance must be communicated Acceptance must be communicated to the offeror This can be done either by words (expressed) or by conduct (implied) Cases: Felthouse v Bindley (Silence not acceptance: see Latimer ¶5-310 ) Empirnall Holdings Pty Ltd v Machon Paull Partners Pty...
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