Contract Law Essay

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Contract Law

1.On 2nd January 1999, Sarah reads in a local newspaper, "The BrightonBugle", that a well known local sports enthusiast, Mick Muscle, was offering £5,000 to the first person to swim from Southsea to the Isle of Wightbefore 10th January, 1999. Sarah, a keen swimmer, set about her preparations. On 6th January, 1999, a retraction appeared in "The Hove Herald' stating that Mick's original offer was cancelled and, instead, the prize was now to be £500 to the first person to cycle from Brighton to Oxford before 12th January, 1999. Sarah was a regular reader of "The BrightonBugle" and no other newspaper. She did not see the retraction in "The HoveHerald".

On 9th January, Sarah went
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On appeal, the advertisement was held to be an 'invitation to treat', since it was necessary to protect the advertiser from liability in Contract should demand for the advertised goods exceed supply.[3] As a result, the appellant's criminal conviction was quashed.

In contrast, advertisements may sometimes be construed as being an offer if they are of the unilateral type, where one party promises something in return for the specified act of another. The general rule in Contract Law is that acceptance must be communicated to the offeror, but in unilateral offers, performance of the specified act constitutes acceptance [4]. In Carlill v Carbolic Smoke Ball Co.[5], the defendants advertised that they would pay £100 to anyone who contracted influenza after using their smoke ball for a specified period, and that £1000 had been deposited in a bank as proof of their sincerity. Mrs Carlill bought and used the smokeballl in accordance with the manufacturer's instructions but then contracted influenza, so claimed her reward. The defendants claimed that the advertisement was an

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