INTRODUCTION TO LAW

Introduction to law



Introduction to law

Offer

An offer is a clear and unambiguous statement of the terms on which the offeror is willing to contract where the offered accepts such offer. An offer must be distinguished, from an invitation to treat. The response to an invitation to treat is considered being an offer which the offered may accept or reject (Rose 2002, 25).

Acceptance

Acceptance may be defined as the final and unequivocal expression of agreement to the terms of an offer. Acceptance may be divided into two constituent parts. First comes the fact of acceptance; and second the communication of acceptance.

Fact of acceptance

Courts have found that a contract exists where the parties have conducted themselves in a manner which indicates that they believe that a contract has been concluded. Counter-Offers: In order for an acceptance to be valid, the person to whom the offer is made must accept the terms which are proposed by the offeror. “It is difficult to conceive of an acceptance which would itself prescribe conditions. Ordinarily a communication in the course of negotiations leading to a contract which contains conditions not previously agreed, by the party to whom the communication is addressed will fall to be treated as a new or counter-offer rather than an acceptance”.

A counter-offer has the same effect as the rejection of the first offer. If the counter-offer is rejected, the first offer cannot be accepted. The courts strive to keep an offer open where an offeree's response can be considered a request for additional information or the seeking of clarification (Fabio 2005, 2).

The communication of acceptance

Once it is established that an offerer intends to accept the offer, the communication of that the offer is required as a further step. The general rule is that an offeror is bound when he learns from the offered of his acceptance. This general rule does not apply where the parties intend that the acceptance is to be communicated by post. The so called “postal rule” indicates that an offer is accepted when an offerer posts the letter of acceptance.

A legal contract is an agreement between two or more parties that are enforceable in a court of law. There are many types of binding contracts in which parties agree to be bound to the terms of the agreement. Many contracts are negotiated orally, while others may be presented to one party in writing and typically involve a standard agreement where the terms are written. With standard form contracts, there is usually no bilateral negotiation, and instead the parties simply affix their signature to the contract (Emerson 2009, 118).

The Elements of a Contract

Every ordinary contract has the following elements Offer, Acceptance, Consideration, Certainty of terms, Capacity to contract and Intention to create legal relations. Written contracts provide probative value than verbal contracts because they are easier to prove. However, verbal contracts remain popular because they represent the majority of everyday business dealings, which are typically negotiated between the contracting parties in a physically ...