Rewards before Performance Is Complete

548 WordsJan 31, 20182 Pages
Issue: Can the offer of reward be revoked after the performance has been completed, before the performance has been completed? England. Rule: Offer of reward is an offer for a unilateral contract (Carlill v Carbolic Smoke Ball, the modern example is Bowerman v Association of British Travel Agents). Intention to be bound is to be accessed objectively:if a man makes such an offer to an offeree that a reasonable third party would believe that a valid offer has been made and with that believe the offeree enters into the contract with the man making the offer, this man will be bound by his offer. (Smith v Hughes) Offer for a unilateral contract is accepted by performance of what the offer requires (Carlill v Carbolic Smoke Ball, the modern example is Bowerman v Association of British Travel Agents). Acceptance doesn't need to meet any formal requirements, except that it must make it clear to the offeror that the terms of his were unconditionally accepted. The acceptance must be a "mirror image" of the offer (mirror-image rule). Acceptance can be made by conduct. Revocation is always allowed before the offer has been accepted. Otherwise there would be no consideration. Offer for a unilateral contract cannot be revoked if the performance has begun, unless it was clearly stated in the offer that it can be revoked at any time (Luxor (Eastbourne) LTD v Cooper). Revocation of the offer is to be allowed in very exceptional cases (Schweppe and Harper case) Application. The offer for a
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