Normal Business Contracts

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As in normal business contracts, offer should be first existing between two parties alongside the acceptance. Offer is accepting the terms of negotiation and discussion after an invitation to treat. The external look of an offer and invitation of treat sometimes look the same and hard to differentiate but different by the core means of commercial law. So what is difference between offer and invitation of treat? As Guenter Heinz Treitel defines offer as ” an expression of willingness to contract on certain terms, made with the intention that it shall become binding as soon as it is accepted by the person to whom it is addressed, the offeree”1. It is a statement of terms and conditions of that will be passed to the offeree. It might be passed through letters, newspaper and advertisement. While Andrew Burrows defines the invitation of treat as “an expression of willingness to negotiate. A person making an invitation of treats does not intend to bind as soon as it is acceptable by the person to whom the statement is addressed”2 The difference between an offer and invitation of treat is that if offeree accepts an offer from the offerer, both created a bound of contract while if supplier accepts an invitation of treat from the client to negotiate and discuss terms they created an offer. So the difference is between both subjects is the legal binds of contract formation. It depends also solely on the promisor’s intention. Among the history, several case studies prove
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