Lecture notes study book Poole's Textbook on Contract Law of Robert Merkin QC, Severine Saintier (Chapter 2) - ISBN: 9780198816980, Edition: 14th Revised edition, Year of publication: -
part 2 , formation on agreement - Contract law (LAW1108)
Summary Poole's Textbook on Contract Law - LAW1108
contract law notes
All for this textbook (7)
Written for
Aston University, Birmingham (Aston)
Aston University, Birmingham
Contract Law (BL1174)
All documents for this subject (7)
Seller
Follow
simransharma
Content preview
Agreement
Offers
Terms:-
- Offerer – Makes the offer
- Offeree – Accepts the offer (as long as there is no revocation)
- Offer – promise to be bound if offeree agrees to the offer terms
- I.T.T. – invitation to maje offers to make offeres as part of negotiating process
Offer and acceptance need to mirror each other to make an agreement
Not all agreements make a contract must be an intention to be legally bound
Offer + Acceptance = Agreement
An offer is capable of being converted into a binding agreement
ITT is an invitation to make offers
Reply to an ITT can only be an offer at best Itt cannot be converted to an agreement
- H of L examined language of correspondence between parties
- Mr Gibson applied for detail to buy his council house
- Council ‘may be prepared to sell the house to you’. Needed to complete and return the
application form
- Mr. Gibson completed and returned form
- Council changed policy
- Was there a concluded contract of sale? – H of L decided, no contract. Language used made
it clear the council did not intent to make a binding promise to be bound
- Letter was not an offer, that My Gibson had accepted
- The letter was an invitation to Mr. Gibson to make an offer to buy
Storer v Manchester
- Quick and simple agreement devised by council to simplify exchange of contracts
- CA held there was binding contract when the plaintiff signed the agreement and returned it
- It did not depend on council signing and returning its part
- Offer by the council – accepted by the P
Clifton v Palumbo (1944)
- ‘I am prepared to offer you my estate for £600,00’ – Held: not an offer to sell it
, - The courts look for clear evidence that the process of negotiation is complete (especially
when the sale of land is involved)
Bilateral – Promise in exchange for a promise
Unilateral – Promise in exchange for an act
Cannot accept by making a promise
Advertisement – offer of ITT
- This depends on whether the advertisement ask s for performance of an act (unilateral – and
an offer)
- Advert + Act, Advert is an offer, unilateral contract formed
- May also depend on whether it will suffice to promise to perform it
- Advert + promise t perform, advert is ITT not an offer
- Bilateral – promise and promise
- Advertisement is an invitation to treat (Partridge v Crittenden)
- Limited stocks argument (Grainger and Sons v Gough: wine catalogue and price list = ITT)
- Unilateral offer – promise and act
- Advertisement is offer if sufficiently clear in its clear in its terms andit is clear that the
advertiser intends a definite promise to be bound if the requested act is performed
- Authority: Carlill v Carbolic Smoke Ball Co.
Partridge v Crittenden (1968)
- Mr Partridge placed an advertisement indicating the he had wild birds for sale
- Its an offence to offer these birds for sale
- Advert stated price but gave no details about deliveries of quantities available
- On appeal Mr. Partridge’s conviction was quashed.
- Advert was an ITT not offer
- Constructing such an advert as an offer could mean the seller was unable to supply all those
who replied to the advert
Grainger and Sons v Gough
- Wine merchant’s catalogue and price list were considered to constitute no more than an
invitation to treat
- It made business sense to construe the advert in this way
- The wine merchant had a limited stock of wine.
- If the catalogue and price list had been an offer he could have found himself unbale to
supply all those who replied to the advertisement
Unilateral Contract – Carlill v Carbolic Smoke Ball Co
- Newspaper advert – promise to pay £100 reward to buyers who performed requested act
(use smoke ball 3 times a day for 2 weeks and contracted influenza)
- £1000 was deposited with a bank to show ‘sincerity in the matter’
- Mrs Carlill saw the advertisement, bought the smoke ball and used it as directed. She
contracted influenza but D refused to pay £100
- CA held: advert= offer to pay reward in exchange for performance of requested act.
Performing requested act was the acceptance. £100 was payable
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller simransharma. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $15.00. You're not tied to anything after your purchase.
