Law Types of Contract

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  • Topic: Contract, Offer and acceptance, Invitation to treat
  • Pages : 3 (846 words )
  • Download(s) : 94
  • Published : May 20, 2012
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NO| CONTENT| PAGE|
1.0| QUESTION A| 2|
2.0| QUESTION B| 3|
3.0| BIBLIOGRAPHY| 4|

1.0 Belinda enters Tesco Store and selects food items, fruit juice, vegetables, stationary and 2 dresses. She puts these items into her shopping trolley. Has a contract been made between Tesco Store and Belinda at this point? Give reasons for your answer.

An offer is an expression of willingness to contract on a specific set of terms, made by the seller with the intention that, if the offer is accepted, he or she will be bound by a contract. Both offer and invitation to treat are totally different. Invitation to treat is an invitation for other people to submit offers. Some everyday situations that we might think are offers are in fact invitations to treat. For example, when a book is placed in a shop window priced at RM10, the bookshop owner has made an invitation to treat. When we pick up that book and take it to the cashier, we make the offer to buy the book for RM10. When the person at the cashier takes our money, the shop accepts our offer, and a contract comes into being. If we see in the Fisher V Bell case, the shopkeeper was not guilty of the offense, with which he was charged for displaying knife with a price ticket behind in his shop window because the displaying of the knife in the shop window was merely an invitation to treat and the shopkeeper had not thereby offered the knife for sale. The display of goods with a price ticket attached in a shop window or on a supermarket shelf is not an offer to sell but an invitation for customers to make an offer to buy. According to Pharmaceutical case, contract is only made at the cashier’s desk. When the customer selects the items, it is only offer to buy. Hence, there is no contract made between Belinda and Tesco Store. She only has made an offer to buy the items that Tesco Store has made an invitation to treat. Contract is only made when she pays for the items to the cashier.

2.0Explain what is a...
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