BPP Manual Ch 3: Agreement 2 Flashcards Preview

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Flashcards in BPP Manual Ch 3: Agreement 2 Deck (17)
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1

What case gives authority on qualifications to an acceptance? What does it say?

-Hyde v Wrench
-acceptance must be unqualified and must correspond exactly with the terms of the offer

2

acceptance must be made in response to the offer: what case gives the authority? What happened?

- Boulton v Jones
- B bought a shop and J submitted an order in the name of the previous owner. B supplied the goods and J refused to pay
- J claimed there was no contract because the offer made by J was not to B and B therefore could not accept it.
- Jones won

3

What is the rule about multiple people responding to a reward for information? From what case? What happened?

- only the first person to provide the information is entitled to the reward
- Lancaster v Walsh
- Walsh lost two bank notes and only had to reward the first person to give him information that led to him recovering them.

4

What case makes it clear that mental assent is not sufficient for accepting an offer? What happened?

- Felthouse v Bindley
- F tried to buy his nephew's horse and said he would take silence for assent.
- the nephew did not reply and the horse was accidentally sold by B, an auctioneer.
- F had no grounds to sue B because the nephew had never communicated his acceptance.

5

Could you ever signal acceptance of an offer through conduct?

yes - Intense Investments v Development Ventures
- lender's action of transferring loan monies to the borrower constituted acceptance of the repayment terms offered.

6

What is the rule relating to third party acceptance of offers? What case?

- third parties can communicate acceptance but only if they have the authority to do so.
- Powell v Lee: one member of the committee told a candidate for a teaching job that he had been successful.
- that committee member did not have the authority to communicate the committee's acceptance
- therefore there was no binding contract.

7

What exceptions are there to the rule of communicating acceptance?

- unilateral contracts
- fault of the offeror that acceptance cannot be communicated (especially for technological methods of communication)
- postal rule

8

How is agreement signified in a unilateral contract?

- by performing the act specified.

9

Where was the postal rule for acceptance laid out? What is it?

- Adams v Lindsell
- where post is the appropriate method of communication acceptance takes place from the moment the letter of acceptance is properly posted.

10

What happens if a letter of acceptance is delayed or lost in the post? What is the authority for this?

- Household Fire Insurance v Grant
- G applied for shares in HFI
- HFI accepted and the letter allocating shares got lost in the post
- a contract was made as soon as HFI posted the letter so G had to pay for the shares.

11

What case gives authority for the postal rule not being applicable if post is an inappropriate communications tool? What happened?

- Quenerduaine v Cole
- Q made an offer to C by post
- C made a counter-offer by telegraph
- Q accepted by post
- Postal rule held not to be applicable because the use of the telegraph implied an urgency. No contract

12

What happens if a letter is wrongly addressed?

- no use of the postal rule
- Getreide-Import Gesellschaft v Contimar

13

How can the postal rule by avoided?

- by making it a term of your offer that acceptance must be received by you for it to be binding.
Household Fire Insurance v Grant

14

What is the general rule for instantaneous communication? What's the case?

- postal rule does not apply because the offeree will know at once if their communication has not been received.
- Entores v Miles Far East Corporation

15

With instantaneous communication, what determines the jurisdiction?

The place where acceptance is received

16

How can acceptance be communicated?

In any manner at all, though a certain mode can be prescribed.

17

What is the rule about proscribed modes of acceptance? What case?

- Manchester Diocesan Council v Commercial and General Investments
- if the offeror wants a particular mode of communication to be exclusively binding he has to make that clear himself.