Contract Offers/ITT

  • Created by: Patrick
  • Created on: 14-04-13 15:25
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  • Offer and Acceptance
    • Advertisements
      • Partridge v Crittenden
        • HELD: invitation to treat as he had not used the words 'offer for sale'
      • May dislodge presumption if advert limits the number who can accept the offer.
        • Would be unrealistic if advertisementcould be accepted by the whole world.
    • Displays
      • Pharmaceutical Society of GB v Boots Cash Chemists [1953]
        • HELD: Shop display is a ITT to protect customer from being bound to purchase
      • Presumption may be dislodged by suggesting ability to supply all that accept
    • Auctions
      • Auctioneer makes a ITT on behalf of the seller.
        • The bidders make the offers and the highest is accepted by the fall of the hammer
          • Contract between auctioneer and highest bidder is called a 'Collateral' Contract
            • Signifies  auctioneer is making a collateral promise to perform his role of agent
              • And create the main contract of sole between the seller and the highest bidder.
      • Warlow v Harrison (1859)
        • C bid on a horse in auction, however owned outbid him and won the auction.
          • Claimed he was owned on the grounds that a owner is not allowed to bid.
            • C claimed breach of contract (the collateral contract) between auctioneer and C
              • HELD: Breach of contract
                • Supported in the case of 'Barry v Davies' (2001)
                  • Auctioneer  on an 'without reserve'  auction withdrew item at highest bid of £200
                    • Sued for breach of contract,
                      • COA HELD: There was a contract between auctioneer and highest bidder (breached when goods were withdrawn)
                        • Remedy will normally be damages claim against auctioneer.
    • Tenders
      • A tender is  usually a ITT, the submission of a tender is usually an offer.
        • Where the tender is submitted for supplying goods  or services on a specific date  acceptances results in  a binding contract
        • Where the tender is submitted for supplying goods or services over a period of time acceptances results in a contract.
      • Harvela Investments v Royal Trust of Scotland
        • Seller invited claimant and defendant to make confidential bids for the shares by 3pm following day
          • Seller offered to sell to the highest bidder who complied with set conditions thus displacing the usual presumption of a ITT
            • The issue centred on the highest bidder
      • Blackpool & Fylde Aero Club v Blackpool Borough Council
        • Council invited tenders to be placed in letter box before deadline. was placed in letter box but was not collected
          • Council was held to have made an offer to consider all offers which were posted before deadline. Claimants accepted this offer by posting before deadline.
            • The Council breached their collateral contract because it did not consider the Club's tender
    • Automated Vending Machines
      • Constitute an offer of acceptance.
      • Thornton  v Shoe Parking Ltd [1971]
        • Was held that a machine constituted offer, acceptance took place by putting money in the  machine
          • The ticket was dispense after the acceptance took place, therefore the clause was not incorporated into the contract


Smith E


A great resource for the visual learner, on the key aspects of offer and acceptance. Thornton v Shoe Parking is often overlooked by students, so this resource reaffirms the importance of the case. Zoom into approximately 60% for optimum viewing.

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