• Home
  • University of Bristol
  • Law of Contract
  • Elements and Formation of Contracts

Elements and Formation of Contracts

Section A Q1 Outline (?)???????: There are four elements to establish a contract, respectively offer,- acceptance, intention to create a contract and consideration. 1.Advertisements : invitation to treat or offer ? E offer That it was impossible to make a contract (an offer) with the whole- world ????:Partridge v Crittenden [1968] 1 WLR 1204. ??: One is that, as long as the offeror evinces an intention to be legally bound, it does not matter how many people she makes the offer to. Therefore, a party can make an offer to the whole world if she so desires. Reference : Carlill v Carbolic Smoke Ball Co (1893) : the defendants were the proprietors of a medical preparation called the 'carbolic smoke ball'. They inserted an- advertisement in the newspapers which included the following- wording: '£ 100 reward will be paid by the Carbolic Smoke Ball- Company to any person who contracts the increasing epidemic influenza, colds, or any disease caused by taking cold after having used the ball three times daily for two weeks according to the- printed directions supplied with each ball. £1,000 is deposited with- the Alliance Bank Regent's Street, showing our sincerity in the- matter.' (case ??) 2.?Paul?????,??? Acceptance could be made by post. ????: The acceptance occurs at the moment of posting, even if- it is delayed or never arrives: (Adams v Lindsell (1818) 106 ER- 250.)- Note the postal rule only applies :- . To acceptance ;- . When the letter was correctly addressed and stamped ;- . When it was reasonable to accept the offer by post; and,- . When the rule has not been implied or expressly excluded by the- offeror Reference : Holwell Securities v Hughes [19#4] 1 WLR 155. ??:??? 3.?Albert???,??? offer and counter-offer ????????? -(1) Offer : "A final and unqualified expression of assent to the terms of the offer' with an intention to be bound." Treitel The Law of- Contract (Eleventh edition, Sweet & Maxwell 2003) 16. Offer is Distinct from a request for further information { Stevenson,- Jacques & Co v McLean (1880) 5 QBD 346. )- acceptance ??????????? (2) postal rule ??? ??:?????? 4.?Suzanne-????? ??:??? Advise whether any contract(s) has/have been concluded .- ANSWER: When considering whether a contract has been established, it is required to consider four important elements of contract formation: 1) Offer-2), Acceptance, 3) Consideration, and 4) Intention to create a legal relation. Offer : Whether the aAdvertisement could constitute an offer The first issue here, is whether there is an offer when Zachary, who is 'Filton Office Supplies' (FOS) the owner of a secondhand-shop called 'Filton Office Supplies' (FOS), owner post an advertisement about sale information on the local free newspaper. Under Advertisement has two characters in contract law, advertisement could be whether an invitation to treat or an offer. First, an advertisement is an offer. Second, it could be an invitation to treat. Briefly Speaking, the difference between offer and invitation to treat is that the former suggests that the person making the