Offer and acceptance in english contract law - Essay Example

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This paper seeks to discuss the principles that have been developed with respect to offer and acceptance. The paper will then apply the principles to a case. Contracts are agreements, between parties, that are enforceable in a court of law. A number of factors determine еру enforceability of agreements that qualifies a contractual agreement as valid…
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Offer and acceptance in english contract law
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Download file to see previous pages The agreement is one of the fundamental elements of a valid contract. It depicts the coming to terms of the parties to the contract through consensus over terms of a contract. The agreement is a product of existence of offer and acceptance. An offer is a promise made by one party to another in which the promisor intends to be bound by terms of his promise. Some of the elements of an offer include the intention to be bound by the offer if it is accepted, and the existence of terms that creates rights and liabilities in the event of acceptance. Acceptance on the other hand, refers to the promisee’s intent to be bound by the promisor’s terms of offer. Once an offer is accepted, an agreement is deemed to have existed between the parties forming ground for a contract. The offer and acceptance are however subject to a number of principles ...
An advertisement is for example a presentation of information over the subject matter and only acts as an invitation to a customer to make an offer. In the case of Partridge v Crittenden (1968), the court held that an advertisement that indicated the price of goods in a vendor’s shop does not amount to an offer. Similarly, exhibition of goods for display does not amount to an offer. The owner of the goods is therefore not bound by the information displayed in an exhibition, as an offer for the good has not yet been made. Such was the ratio decidendi in the case of Pharmaceutical society of Great Britain v Boots cash chemists (1953). The defendant was accused of offering to sell commodities to the public contrary to prescriptions by regulatory bodies. It was held that the display of drugs on the shelf does not amount to an offer (Rush and Ottley, 2006, 47). Similarly, response to question for provision of information does not amount to an offer. This was held in the case of Harvey v Facey (1893) in which a defendant’s statement of the lowest price that could be accepted for sale of a piece of land was considered not to amount to an offer (Rush and Ottley, 2006, 48). The doctrine of invitation to treat is however exempted in some cases under which an advertisement can constitute an offer. In the case of Carlill v Carbolic Smoke Ball Co Ltd (1893), it was held that the defendant’s advertisement amounted to an offer. The defendant stated in its advertisement that a reward would be offered to any person who contracted influenza after using its medicine as prescribed. The advertisement further indicated that money had been deposited for the rewards. The court, in its judgement, held ...Download file to see next pagesRead More
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