Contract Law, Case Study Coursework Example | Topics and Well Written Essays - 1000 words

Contract Law, Case Study - Coursework Example5 if horse was lucky for him. It was held that this statement was in like manner vague to become a valid spree. The buyer did not clearly state that in what way the horse should have been lucky for him. in that respect ar also statements made that are mere queries for more information. Such statements also do not become a valid swirl. In Harvey v Facey2, the complainant was interesting in buying land which had not been advertised for sale by the owner, the defendant. The plaintiff asked the defendant for the lowest price that he would be accept for the land. The defendant replied with a price and the plaintiff tried to accept it. It was held that the plaintiff could not accept that price because there was no offer by the defendant. There was a price but no heading to sell the land in the reply of the defendant. It was just an early step in the process of negotiation. An offer is meant to be the last word of the parties to a contrac t. This is why a counter-offer revokes the original offer. In Hyde v Wrench3, the defendant offered to sell his land to the plaintiff for ? constant of gravitation. The plaintiff state that he would pay ?950 instead. Later, he agreed to pay the full price but heard no occasion from the defendant. It was held that the offer to sell the land at ?1000 had expired when the plaintiff made a counter-offer. Therefore, the original offer was no longer rotate for credence. It is essential that both parties mustiness agree to the same thing in the same sense. An offer must be communicated to the offeree. It is deemed to be communicated to the offeree when it comes into his notice. The offeror can put a stipulation on his offer regarding its acceptance in time. If the offer is not accepted within that time, it is revoked. An offer can be revoked at any time before it has been accepted. If an offeree wants the offeror to keep an offer open for acceptance, he must pay a consideration for it. In Routledge v Grant4, the defendant promised to keep his offer to purchase the lease of the plaintiffs rear open for acceptance for six weeks. He changed his mind and communicated to the plaintiff that he had revoked his offer. The plaintiff claimed that the defendant was bound to keep his offer open and he had breached his promise. It was held that the defendant was not bound to keep his offer open because the plaintiff had not paid him any consideration for it. It is important to note that such revocation of offer is not valid unless it is communicated to the offeree. Acceptance is the next step in the formation of a legally binding contract. Acceptance must be a reflect image of the offer in the sense that the acceptor must agree to the same things that are presented in the offer in the same sense. In Jones v Daniel5, the plaintiff sent an acceptance message to the defendant in which he included new terms. The defendant refused to enter into a contract. It was held that the ac ceptance was a qualified acceptance and not valid. It was a counter-offer and the defendant was not bound to accept it. An offer may be conditional but it is not the case for acceptance. An acceptance must be firm and absolute. There must also be a consideration for both parties to a legally binding contract. Consideration can be regarded as the price of a partys promise. Consideration must be sufficient. It must be of a material value. Also, the parties must have an intention to be legally bound under the agreement. If there is no such intention, the