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Relationships between Serena and Eric - Essay Example

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This paper, Relationships between Serena and Eric, declares that the first contract that will be examined is that of Serena and Eric. Eric is Serena’s brother, and he made an offer to Serena to buy the Galileo for £19,500. Serena did not accept this offer right away…
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Download file to see previous pages The first issue is whether there were an offer and acceptance. Serena made the offer, however, Eric, by stating that he would buy the Galileo at £19,500 instead of the £20,000 that Serena was asking for, effectively made a counteroffer. The reason for this is the “mirror image rule.” This rule states that an unequivocal acceptance must mirror the offer exactly – any deviation made by the offeree to the offeror would, therefore, be considered to be a counteroffer. At this point, therefore, it was up to Serena to accept Eric’s offer, as Eric did not offer an unequivocal, mirror image acceptance of Serena’s terms.
However, one can state that Serena was not really making a valid offer with her advertisement, as she indicated that she would consider all offers higher than £20,000. She did not state that the highest bid would be the winner, so to speak, but, rather, only indicated that she would consider any and all bids above the threshold number. The courts would state that this was not really an offer at all, but an invitation to treat. An invitation to treat is an invitation for bids. This is similar to the case of Spencer v. Harding LR 5 CP 561. This case involved the following offer: “28, King Street, Cheapside, May 17th, 1869. We are instructed to offer to the wholesale trade for sale by tender the stock in trade of Messrs. G. Eilbeck & Co., of No. 1, Milk Street, amounting as per stock-book to 2503l. 13s. 1d., and which will be sold at a discount in one lot. Payment to be made in cash. The stock may be viewed on the premises, No. 1, Milk Street, up to Thursday, the 20th instant, on which day, at 12 o'clock at noon precisely, the tenders will be received and opened at our offices.  ...Download file to see next pagesRead More
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