OFFER
LIST ONE COMMUNICATION THAT DOES NOT AMOUNT TO OFFER
INVITATION TO TREAT/BID, AUCTION, ADVERTISEMENT, PRICE ESTIMATES
WHAT IS ACCEPTANCE
When a person to whom an offer is made expresses his assent to the offer, the offer is said to be accepted. The acceptance of an offer is the act that completes the formation of the agreement.
WHO MUST CONSIDERATION MOVE FROM?
PROMISEE
WHAT CLASS OF AGREEMENT ARE GENERALLY NOT BINDING
WHO MUST PROVE THAT GOOD WERE NECESSARIES FOR A MINOR
PERSON SELLING THEM
WHAT IS AN INVITATION TO TREAT
IT is simply an invitation for offers. It is an indication that the invitor is willing to enter into negotiations but is not prepared to be bound immediately
GIVE TWO RULES GOVERNING ACCEPTANCE
MUST BE MADE WHILE THE OFFER IS OPEN
MUST BE MADE BY THE OFFEREE
MUST BE ACCEPTANCE OF THE EXACT TERM OF OFFER
TRUE OR FALSE- CONSIDERATION MUST MOVE TO THE PROMISOR
FALSE
TRUE OR FALSE
BUSINESS AGREEMENTS GENERALLY ARE NOT INTENDED TO BE BINDING
FALSE
WHAT CONTRACTS ARE ENFORCEABLE AGAINST MENTALLY ILL PERSONS
CONTRACTS FOR NECESSARIES
WHAT IS THE RULE REGARDING COUNTER-OFFER
A COUNTER OFFER IS NOT ACCEPTANCE BUT THE CREATION OF A NEW OFFER WHICH THE ORIGINAL OFFEROR IS FREE TO ACCEPT OR REJECT. IT ENDS THE ORIGINAL OFFER
WHEN COMMUNICATION IS BY AN INSTANTANEOUS MEANS WHEN IS ACCEPTANCE?
Acceptance takes place when and where the message is received.
EXPLAIN CONSIDERATION MUST BE SUFFICIENT BUT NEED NOT BE ADEQUATE
IT MUST BE OF SOME VALUE (SUFFICIENT) BUT IT NEED NOT BE A SUBSTANTIAL VALUE SO IT NEED NOT BE ADEQUATE
HOW CAN A PERSON SHOW INTENT NOT TO BE BOUND IN A BUSINESS AGREEMENT
EXPRESSLY STATE THE INTENTION NOT TO BE BOUND IN THE AGREEMENT
WHAT ARE TWO CLASS OF PERSON DEEMED TO LACK CAPACITY TO CONTRACT
MINOR, DRUNK, INSANE
WHAT ARE TWO REQUIREMENTS OF AN EFFECTIVE OFFER
Must be communicated, so that the offeree may accept or reject it;
ii. May be communicated in writing, orally, or by conduct.
May be made to a particular person, to a group of persons, or to the whole world.
Must be definite in substance.
DIFFERENTIATE BETWEEN EXECUTORY AND EXECUTED CONSIDREATION
Consideration is executory where the defendant’s promise is made in return for a promise from the plaintiff
Consideration is executed where the defendant’s promise is made in return for the performance of an act by the plaintiff.
WHAT IS THE EXCEPTION TO THE SOCIAL/DOMESTIC AGREEMENT RULE
WHERE THE PARTIES SET OUT THEIR INTENTION TO BE BOUND OR THE PARTIES ARE NOT FAMILY MEMBERS
WHAT IS THE DEFENCE FOR ILLITERATES
NON EST FACTUM- IT IS NOT MY DEED
WHAT ARE 5 WAYS IN WHICH AN OFFER CAN BE TERMINATED?
WHAT IS THE POSTAL RULE
Acceptance becomes effective and the contract concluded at the moment the letter of acceptance is dropped into a mailbox, properly addressed and bearing sufficient postage
EXPLAIN THE RULE THAT PAST CONSIDERATION IS NOT GOOD CONSIDERATION
Past consideration refers to where the defendant’s promise is subsequent to the plaintiff’s act and independent of it. Past consideration is no consideration at all.
WHAT ARE TWO BUSINESS AGREEMENTS NOT INTENDING TO BE BINDING
MERE PUFF
LETTER OF INTENT
LETTER OF COMFORT
COLLECTIVE AGREEMENTS
WHAT MUST A DRUNKEN PERSON PROVE SO AS NOT TO BE BOUND
1. HE DID NOT UNDERSTAND THE NATURE OF WHAT HE WAS DOING
2. THE OTHER PARTY KNEW