Invitations to treat Flashcards
What is an ITT
An invitation to treat does not demonstrate an intention on the part of the person making the statement to be automatically legally bound if the other party accepts, It contemplates further negotiation- it invites the other person to make an offer
What is an ITT
An invitation to treat does not demonstrate an intention on the part of the person making the statement to be automatically legally bound if the other party accepts, It contemplates further negotiation- it invites the other person to make an offer
What is the general rule for display of goods
The general rule is that a display only constitutes an invitation to treat, whether it is a display in a shop window (Fisher V Bell (flick knives))) or on a shelf inside a shop.
What was held in Pharmaceutical Society of Great Britain v Boots Cash Chemists
(It is a criminal offence to sell certain drugs otherwise under the supervision of a qualified pharmacist- argued that the drugs on the shelfs constituted an offer- hence the shop had committed an offence) CoA held that it was merley an invitation to treat – it was for the prospective purchaser to make the offer when they took the drugs to the till- hence the Act was not infringed.
Why did Unger argue that ITT to display of goods for sale was a favourable approach
argued that this is a justifiable approach because if the display were to constitute an offer, there might be more customers accepting than the shop keeper could supply. Also arguments that the customer would not be able to change
What is the general rule for advertisements
The same general rule as invitation to treat applies to advertisements as in Partridge V Crittenden (it was a criminal offence to offer for sale live wild birds, bramlefinches- it was held to be an ITT.)
When will the general rule to adverts be displaced
This rule can be displaced if the advert expresses a willingness to be bound e.g Carlill V Carbolic Smoke Ball Co (held that since the advert indiacted it would pay £100 to those who fulfilled the conditions set out in the advert indicated that it should be an offer. What is more, what added more weight to the argument was the fact a deposit of £1000 had been put in the bank, which indicates the seriousness of their willingness to pay the money)
Another case where the general rule to adverts was displaced
Lefkowitz V Great Minneapolis Surplus Stores Inc (Offer for fur coats, first come $1 each)- it was clear that the fur was for sale, definite and explicit there was nothing left open to negotiate.
In which types of cases have the courts been seen to be more willing to find adverts in
unilateral contract cases
What is the general rule for tenders
The general rule is that an invitation to submit a tender is normally an ITT, the tender is the offer which is then available for acceptance.
Is there an obligation to accept the best financial terms?
no: Spencer V Harding (an offer was sent out (D sent out a circular saying that ‘we are instructed to offer to thr wholesale trade for sale by tender the stock In the trade of Messrs). It was held that this was not an offer but an ITT.
Where will the general rule be displaced?
in the obiter in Spencer indicated that if the person had said and we undertake to sell to the highest bidder this would constitute an offer.
What was held in Harvey Investments Ltd v Royal Trust Company of Canada
(invitation to make confidential bids. D2 bid an amount plus an offer of an excess of $101, 0000 of the other bid) It was held that could not be an offer- a referential bid would not be allowed as it would deny the other bidder the opportunity to purchase.
A statement inviting tenders will be construed as an offer with slightly different terms, what is it
that if a bid is properly submitted in accordance to the terms of the invitation, it is promised that the bid will be considered. So it is an offer just to consider bids properly submitted, not a an offer to accept a bid fulfilling particular considerations
What was held in Blackpool and Flyde Aero Club Ltd v Blackpool BC
(local authority sent out an invitation to 7 parties to tender for concession to operate pleasure flights from a local airport. The invitation stated that the Council do not bind themselves to accept all or any part of the tender and that no tender which is received after a certain time and sate will not be considered. BFAC submitted before the deadline, but the post box was not checked until after the deadline.) The CoA held that was in breach of contract, there is an implied obligation to consider all tenders submitted in time.
