GDL CONTRACT LAW UNIVERSITY OF LAW ACTUAL
EXAM 250 QUESTIONS AND CORRECT DETAILED
ANSWERS |AGRADE
What is an Offer? - ANSWER: An expression of willingness to enter a contract and be
legally bound.
What is an Offeror? - ANSWER: The party who make the offer to enter into a
contract.
What is an Offeree? - ANSWER: The part whom the offer is made to enter into a
contract.
What is an invitation to treat? - ANSWER: an invitation to make an offer
Give 2 examples of an invitation to treat? - ANSWER: Shop window, Auctions,
Adverts, Self-service shops, Mere statement of price.
What are the three key elements of a contract? - ANSWER: Offer, Acceptance and an
Intention to create legal relations.
What case demonstrates that advertisements are invitations to treat? - ANSWER:
Partridge v Crittenden [1968]
What is a unilateral contract? - ANSWER: A promise in return for an act (e.g. 100
pounds if you find my cat) (A contract that does not need to be expected)
(Performance Based)
What is a bilateral contract? - ANSWER: a promise in exchange for a promise (e.g. for
200 pounds you will look after my cat for 3 days)
What case deals with unilateral contracts and advertisements? - ANSWER: Carhill v
Carbolic Smoke Ball Company Ltd
What case's state that the display of goods in shops and shop windows are not
offers? - ANSWER: Pharmaceutical Society of Great Britain v Boots Cash Chemist Ltd
[1953] & Fisher v Bell [1961]
What is the case which states a party cannot be bound to a contract of which they
are unaware? - ANSWER: Taylor v Laird (1856)
What case states that the offeree must have clear knowledge of the existence of the
offer for it to be valid? - ANSWER: Inland Revenue Commissioners v Fry (2001)
In order for an offer to be valid what must the offeror do? - ANSWER: Communicate
it to the offeree
, Give 2 ways in which offers may be terminated? - ANSWER: Revocation (just say no),
Lapse of time where it is no longer reasonable, Someone dies.
Why was the offer not withdrawn in the case of Byrne v Van Tienhoven - ANSWER:
Because he accepted before the letter of withdrawal had reached him.
When can a third party revoke a contract? - ANSWER: the third party is a reliable
source of information and the third party is someone whom both parties can rely
(Dickinson v Dodds)
In what case was a unilateral offer not revoked even though the offeror had died,
and why was it not revoked? - ANSWER: Errington v Errington & Woods and the
contract was not revoked because they had began to perform the act.
Which case concerns lapse of time cancelling an offer to contract? - ANSWER:
Ramsgate Victoria Hotel Co Ltd v Montefiore (1866)
What will happen to a contract if the offeror dies? - ANSWER: Then their
representatives might still have to be bound by the contract if the contract does not
involve personal services of the deceased and the offered is ignorant of the death.
What will happen to a contract if the offeree dies? - ANSWER: Then it will lapse
regardless
What happens to an original offer if there is a counter offer and what case
demonstrates this? - ANSWER: The original offer is killed and the case is Hyde v
Wrench
How is a request for information different to a counter offer? - ANSWER: A counter
offer kills the original contract however, a request for information does not.
(Stevenson, Jacques & Co v McLean)
Who came up with the Last Shot Rule? - ANSWER: Lord Denning
What is the last shot rule? - ANSWER: When there is a conflict of company terms
that are not compatible the last 'man' to put forward terms and not have them
rejected by the other is the persons who's terms are accepted
What case states that acceptance has not effect until it is communicated to the
offeror? - ANSWER: Entores v Miles Far East Corporation [1955]
Which case states that silence cannot constitute acceptance? - ANSWER: Felthouse v
Bindley
Must acceptance be communicated in a unilateral contract? - ANSWER: No (it is
waived)
EXAM 250 QUESTIONS AND CORRECT DETAILED
ANSWERS |AGRADE
What is an Offer? - ANSWER: An expression of willingness to enter a contract and be
legally bound.
What is an Offeror? - ANSWER: The party who make the offer to enter into a
contract.
What is an Offeree? - ANSWER: The part whom the offer is made to enter into a
contract.
What is an invitation to treat? - ANSWER: an invitation to make an offer
Give 2 examples of an invitation to treat? - ANSWER: Shop window, Auctions,
Adverts, Self-service shops, Mere statement of price.
What are the three key elements of a contract? - ANSWER: Offer, Acceptance and an
Intention to create legal relations.
What case demonstrates that advertisements are invitations to treat? - ANSWER:
Partridge v Crittenden [1968]
What is a unilateral contract? - ANSWER: A promise in return for an act (e.g. 100
pounds if you find my cat) (A contract that does not need to be expected)
(Performance Based)
What is a bilateral contract? - ANSWER: a promise in exchange for a promise (e.g. for
200 pounds you will look after my cat for 3 days)
What case deals with unilateral contracts and advertisements? - ANSWER: Carhill v
Carbolic Smoke Ball Company Ltd
What case's state that the display of goods in shops and shop windows are not
offers? - ANSWER: Pharmaceutical Society of Great Britain v Boots Cash Chemist Ltd
[1953] & Fisher v Bell [1961]
What is the case which states a party cannot be bound to a contract of which they
are unaware? - ANSWER: Taylor v Laird (1856)
What case states that the offeree must have clear knowledge of the existence of the
offer for it to be valid? - ANSWER: Inland Revenue Commissioners v Fry (2001)
In order for an offer to be valid what must the offeror do? - ANSWER: Communicate
it to the offeree
, Give 2 ways in which offers may be terminated? - ANSWER: Revocation (just say no),
Lapse of time where it is no longer reasonable, Someone dies.
Why was the offer not withdrawn in the case of Byrne v Van Tienhoven - ANSWER:
Because he accepted before the letter of withdrawal had reached him.
When can a third party revoke a contract? - ANSWER: the third party is a reliable
source of information and the third party is someone whom both parties can rely
(Dickinson v Dodds)
In what case was a unilateral offer not revoked even though the offeror had died,
and why was it not revoked? - ANSWER: Errington v Errington & Woods and the
contract was not revoked because they had began to perform the act.
Which case concerns lapse of time cancelling an offer to contract? - ANSWER:
Ramsgate Victoria Hotel Co Ltd v Montefiore (1866)
What will happen to a contract if the offeror dies? - ANSWER: Then their
representatives might still have to be bound by the contract if the contract does not
involve personal services of the deceased and the offered is ignorant of the death.
What will happen to a contract if the offeree dies? - ANSWER: Then it will lapse
regardless
What happens to an original offer if there is a counter offer and what case
demonstrates this? - ANSWER: The original offer is killed and the case is Hyde v
Wrench
How is a request for information different to a counter offer? - ANSWER: A counter
offer kills the original contract however, a request for information does not.
(Stevenson, Jacques & Co v McLean)
Who came up with the Last Shot Rule? - ANSWER: Lord Denning
What is the last shot rule? - ANSWER: When there is a conflict of company terms
that are not compatible the last 'man' to put forward terms and not have them
rejected by the other is the persons who's terms are accepted
What case states that acceptance has not effect until it is communicated to the
offeror? - ANSWER: Entores v Miles Far East Corporation [1955]
Which case states that silence cannot constitute acceptance? - ANSWER: Felthouse v
Bindley
Must acceptance be communicated in a unilateral contract? - ANSWER: No (it is
waived)