Question 1

Is an advertisement in a newspaper always just an invitation to treat?

Accepted Answer

Generally, yes. The case of *Partridge v Crittenden* established that advertisements are usually invitations to treat to avoid the seller being bound by more contracts than they can fulfil. However, there is a key exception. If the advertisement is for a 'unilateral' contract and shows a clear intention to be bound (e.g., by stating that a reward will be given for performing an act), it can be an offer to the whole world, as seen in *Carlill v Carbolic Smoke Ball Co*.

Question 2

If I post a letter revoking my offer, is the revocation effective immediately?

Accepted Answer

No, this is a common misconception. The postal rule applies only to letters of acceptance, not to letters of revocation. For a revocation to be effective, it must be actually communicated to and received by the offeree. This was established in *Byrne v Van Tienhoven*. Therefore, if an offeree posts their acceptance before they receive the letter of revocation, a valid contract is formed.

Question 3

What is the difference between a counter-offer and a request for more information?

Accepted Answer

A counter-offer changes the material terms of the original offer and, in doing so, destroys it (*Hyde v Wrench*). For example, 'I'll buy your car for £8,000' in response to an offer of £10,000. A request for more information, however, merely seeks to clarify the terms of the offer and leaves the original offer intact and open for acceptance (*Stevenson, Jacques & Co v McLean*). For example, 'Would you accept payment in instalments?' This is a crucial distinction in determining whether a contract can still be formed on the original terms.

Offer and acceptance

What you need to know

Offer and acceptance