Acts and cases
CONTRACT LAW
A. OFFER:-
-Objective Approach-(intention)
All contracts are dealt with objectively as seen in the cases of
1.RTS Flexible Systems 2010
2.Centrovincial Estates
● Error in the offer
● The defendant won the case as the offer had been accepted so a contract had been
formed
-Distinguish between the ‘offer’ and ‘invitation to treat’-
3.Gibson v MCC
● tennant wanted to buy the house he was living in,
● Filled in the application form
● MCC said they ‘may be’ prepared to sell…
● ‘The words ‘mabey’ were fatal to the communication being construe as an offer’
4. Storer v MCC
● Similar facs as above
● ‘I enclose the… if you sign the agreement then we will sign it’
● ‘It was held that the contract was binding because the material words of the contract had
been decided. The council's communication was construed as an offer.’
-Displays-
5.Fisher v Bell
All displays in a shop window are invitation to treat and not offer
6.Pharmaceutical Society of GB v Boots
● Pharmacy and Poisons Act 1993-
● Cannot sell drugs without a registered pharmacist case
7.Chapleton v Bary- (anomaly)
● Display of deck chairs was an offer
● Customer sat on it and got injured
● Company was liable
-Advertisements-
Those that will eventually lead to a bilateral contracts are an ‘invitation to treat’
Will however be an offer if first come first serve mentioned anywhere
8.Partidge v Crittender-
● Appelenat advertised hens and cocks for sale for a certain price
● Charged under Protection of Birds Act 1954
● That add was an invitation to treat and thus appellant was not liable.
, 9.Carlill v Carbolic Smoke Balls co.
● 100 pounds to anyone who gets the flu after taking the balls
● Put 1000 pounds in a separate bank account for this purpose
● She got the flue
10.Lefkowite v Great Minneapolis-
● Defendant put up an advertisement of selling fur coats on first come first serve
basis(offer)
● A man came to purchase then stated the offer was only for women
● This however is an American case and can only be used as PERSUASIVE
PRECEDENT
● Creates complexcity in law
-Auctions-
11.Harris v Nickerson-
● Adds for auctions are invitation to treat and not an offer,
● Claimant traveled all the way for the auction which ended up getting cancelled without
pre informing anyone
● Defendant was not liable
12.Bary v Davies-
● Auction without reserved price
● The auctioneer HAS to accept any highest offer
● In this case it was way lower than the market price and he refused to band the hammer
was successfully sued in court
13.British Car Auctions v Wright-
● Offer not valid until hammer has been dropped.
-Tendor-
14.Spencer v Harding
● Advert for tender is an invitation to treat
15.Harwela investments v Royal Trust co.
● Referential bids are invalid
● Claimant quoted 217500 pounds
● Defendant quoted 210000, or 101000 more than the highest bid
● 2 legal principles- 1. Referential bids are invalid
2. If the advert specifies that the highest bid will be accepted, then the
advert is a unilateral offer.
16.Blackpool v Flyde AeroClub-
● Opening flights
● Gave a deadline
● Accepted someone while the deadline was not over
● Did not consider claimant