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Offer - Coggle Diagram
Offer
Invitation to treat
A statement made without intending a contract to result if the other party indicates their consent. It is simply inviting offers to be made
Cases
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Fisher v Bell
Defendant charged with offering a flick-knife for sale, displayed in shop window
Defendant was acquitted, as it was deemed an invitation to treat
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For in-depth reason for rule, see 2.21 of McDermott
Unilateral Contract
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An offer can be made to the world at large and it can be accepted by anybody who performs the necessary actions
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Leonard v PepsiCo
Television ad in which several items were displayed which could be acquired if one collected a certain number of 'Pepsi Points'
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Having acquired 15 Pepsi points, the young boy ordered the jet by adding a cheque for $700,000
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The test of whether an advert is a binding offer is by an objective examination of what a reasonable person would have understood the advert to convey
The exception is where the advertisment is clear, definite, and explicit, and leaved nothing open for negotiation.
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Offer
Defined by Clarke J as "a clear and unambiguous statement of the terms upon which the offeror is willing to contract should the offeree decide to accept"
Bilateral Contract
A promise by one party is exchanged for a promise by the other. The exchange of promises is enough to render them both enforceable.
Thus, in a contract for the sale of goods the buyer promises to pay the price and the seller promises to deliver the goods