Legal Issues In Placer Development V Commonwealth Case

Step 1
The legal issue is whether the participants have established offer and acceptance for a valid contract.

Step 2
All parties involved in an agreement need to complete respective conditions completely in order to be able to bring the agreement to court as judges will only identify the terms for a sufficient agreement.
Illusory promise is a promise which none of importance items have been acknowledged. Illusory promises cannot be imposed. In Placer Development Ltd v Commonwealth case, Placer Development had imported timber Australia and expected to get the payment of subsidy promised by the Commonwealth Government. The government would pay a subsidy to companies that imported timber products into Australia. The payment had been made then ceased. Placer Development wanted to enforce payment of the subsidiary to court. The issue was whether the Commonwealth Government promised to provide subsidy was lawfully enforceable. The court identified that it was not, since it was an illusory promise where no locked amount of payment has been specified in the promise and this kind of promise was regarded as unclear and erratic.
Advertisement is a solicitation to negotiate with interested buyers which does not amount to an offer and cannot create a binding
In addition, pertaining to Partridge v Crittenden case, Clare had an intention to keep the offer open for acceptance until 10 am the next day. Furthermore, learning from the Carlill v Carbolic Smoke Ball Co., the offer has been made by Clare specifically to Michael to sell him the mirror for $250. According to Brinkibon v Sthalwharenhandelsgesellschaft, Clare has accepted Michael’s offer to buy the mirror when Michael left a message on the answering service of Clare’s phone.Therefore, in this case Michael did have a legally enforceable contract with