Case note: Blackpool and Fylde Aero Club v Blackpool Borough Council

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CONTENTS PAGE: Facts of the case.............................................................3 Procedural history...........................................................4 Legal issues in dispute......................................................4 The decision..................................................................3 Analytical Discussion of the implications for the principles of law regarding offer and acceptance............................................6 Current law in Australia regarding offer and acceptance..............10 Theoretical perspective.....................................................12 Conclusion...................................................................14…show more content…
The Council's letter requesting tenders did not overtly state that they would consider tenders conforming to their instructions. However the court found there was an implied contractual obligation to consider the Plaintiff's tender in conjunction with all the other tenders received. In the leading Judgement given by Bingham L.J. he analysed the nature of the tender and the Council's actions in juxtaposition with the conduct on the Plaintiff's side. He considered that the typical analysis of a contract was consumed with identifying offer and acceptance and that the general principle was that an invitation to tender was no more than an invitation to treat . Bingham L.J. identified that the Council did not have the liberty to accept the first tender it received before the expiration of the deadline, nor did it have the liberty to accept tenders after the expiration date. This was confirmed in the Council's own letter of invitation. Bingham L.J believed that this would lead to large discrepancies between contract law and the expectations of parties. His Lordship recognised the fact that tendering processes are heavily weighted in favour of the inviter, and that considerable expense (although not in this case) and effort often goes into preparing a tender . Bearing this in mind the ratio for his decision is contained in the argument that a tenderer is protected at least in the sense that if he submits a conforming tender before the closing date then he is

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