Offer

Offer expression of willingness with intention that it will become binding

: (Storer v Manchester –Offeror sent storer a letter

that he was to just sign and return if he agreed, intended that it will be

binding

Offer may be made to the world at large and becomes a

contract when someone accepts it : Carlill v Carbolic

Smokeball CO – co offers smokeballs for influenza and

indicated that anyone who uses the smokeball and

contracted influenza would receive some money. Money

they had deposited in the bank which indicates there

intention for it to be binding.

OFFER is NOT AN INVIATATION TO TREAT which is a

stage of negotiation and

comes in different forms

IT MUST BE COMMUNICATED: there can be no consensus ad idem if one mind is unaware and so there can me no mirror

image acceptance

Invitation

to treatAuctions (is normally a

request for offers)

Display of Goods with a price

ticket is not an offer and is

merely and invitation (Fisher v

bell)

Advertisements are normally

invitation to treat (Carlill v

smokeball is the exception

because it was a unilateral

contract)Price Statements is not a

contract (Gibson vs

Manchester – were in

negotiation, no price had

been agreed)

Tenders (Harvela Inv v Royal

Trust Co - def placed a

tender for the highest bidder.

Claimant offered 2175 and Sir

Leonard a referential bid to

beat the claimants, who

sought injunction

Withdraw

•Anytime before acceptance

•Notice must be given to the

offeree (Byrne v Van

Tienhoven- def posted an

offer on 1 oct, revoked it

on 8th, 11 oct P sent

acceptance and received

the revocation on 20 –

contract was valid since

revocation must be

brought to the attention of

the offeree – postal rule

applied)

Counter offer

•Gibson v Manchester

Lapse of Time

•If there is a time limit

•If timing between offer and

acceptance is unreasonable

(Ramsgate v Motefiore –

def offered to buy some

shares from plaintiff who

took six months to

respond. Def refused to

pay and court held that

there was a lapse of time

since 6 months was

unreasonable delay

between the offer and the

acceptance.

Condition

•State of affairs for eg

a may offer to sell b

goods providing he

obtain supplies for

himself. If A cannot

obtain the supplies

the offer fails

because the

condition cannot be

fulfilled.

Death

•Oferee cannot accept

offer after notice

have been given of

the offeror’s death