Professional Documents
Culture Documents
Acceptance
Acceptance
Rules of Acceptance:
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Battle of the Forms (small print including i.e. terms and conditions)
Butler V Ex-Cell-O Corp (1974)
In 1969 Saltos issued quotes offering to sell machine tools to buyers for 75,535
and it was set to be delivered in 10 months. Their terms and conditions said that
if the price were to go up the buyer would have to buy the higher price. These
terms and conditions were stated in the forms that the buyers had to return. The
buyer bought the tools and sent an acknowledgment slip which stated in their
own terms and conditions that they wouldnt pay any higher price. The seller
signed and retuned the acknowledgment slip. The tools went up by 2892 so the
seller told the buyer that they had to pay it.
Held: it was held in the COA that the contract had been made on the
buyers terms as the buyers offer (their terms and conditions on the
acknowledgment slip) had been a counter offer. The seller had replied
the acknowledgment slip which accepted the buyers offer so the
original offer had been killed off.
Accept by Silence?
Generally no. The offeror cannot say that if they get no reply then they will
assume that the other party accept the offer.
Acceptance by Post
Adams V Lindsell (1818)
The defendant wrote to the claimant offering to sell fleeces of wool and they
needed an answer by post. The defendant mis-directed the letter so the post
ended up being delayed. The claimant finally received the letter and replies his
acceptance to the defendant. But the defendant, not having heard anything, sells
the wool. The defendant receives the claimants acceptance letter after he had
sold them.
Held: it was held that the contract was made when the claimant posted
his acceptance letter. You wouldnt know if you were bound until you
have received the offer of acceptance and then you wouldnt know if
they had received that letter. It can go on and on.
Instantaneous Forms
Over the telephone the general is to treat it as if you were face to face.
Emails are always in question. Its a form of mail but it can be instantaneous.
The defendant offers 25 reward to the person who gave information leading to
the conviction of a suspected criminal. The claimant had already given
information before the offer had been made.
Held: ??
Present in Mind
A big rule is that the offer must be present in mind during the act. For example,
Gary must be thinking about Freds offer when he returns the cat.
R V Clarke (1927)
Clarke was arrested for a crime even though he didnt do it. He had seen the
offer of the reward for the correct information but he only told the police the
correct information to save himself. Clarke had forgotten all about the reward
offer so it wasnt present in his mind when he gave the information.
Held: it was held that the offer hadnt been present in mind so he
wasnt entitled to the reward money.
Unilateral Contract
This is where one party promises to pay another party a sum of money if they do
something or if they refrain from doing something. E.g. Fred offering money for
the return of his cat
An offer in an unilateral contract can be withdrawn but only before the other
party acts. E.g. Fred cannot withdraw his reward offer after Gary returns his cat.
Daulia (sp) Ltd V Faur Millbank Nominees Ltd
LOOK UP
Carhill cannot say to the Carbolic Smoke Ball Company to give her the 100 if
she didnt have the flu. Both parties must complete their side of the deal.
BUT
Held: it was held that the contract was that the claimant would get
commission if the defendant did sell the cinemas. The claimant
shouldnt be entitled to the commission for the small amount of work
that he done.