Contract and contract making

Contract and Contract making... What is a contract?between two or more parties Writing Oral Partly oral and partly written Conduct Content : total terms and conditions/ clauses/ prov

Contract and Contract

making

What is a contract?

between two or more parties

Writing

Oral

Partly oral and partly written

Conduct

Content : total terms and conditions/ clauses/ provisions regulating parties’ rights and

obligations

What is a contract?

between two or more parties

Writing

Oral

Partly oral and partly written

Conduct

Content : total terms and conditions/ clauses/ provisions regulating parties’ rights and

obligations

Source of Law

Contracts For the

international Sale of Goods – CISG

Commercial

Contracts 2004 – PICC

(UNIDROIT : International Institute for Unification of Private Law)

Vienna Convention 1980

international organizations

systems

Essential Elements Of A Valid Contract  

 Making Contract

  

 Offerer -Offeree

 Makes offer to



- Accepts

  

  

  



Agreement

one party to another party

left nothing open to negotiation Offer occurs when if reaches the offeree

 See case Lefkowitz v Great Minneapolis Surplus

Store, 251 Minn 188 86 N.W 2d 689 (1957)

 Great Minneapolis Surplus Store (D) published

advertisements in a newspaper for a sale on fur coats, mink scarves, and lapin stole Each of the

advertisements indicated that the sale items would be sold on a first come first served basis, stated the

quantities of each item available, and stated that they would be sold for one dollar each Lefkowitz(P) was the first customer to present himself and offer the one dollar price per the terms of the advertisement The defendant refused to sell the sale items to Lefkowitz

 Offer ≠ Invitation To Treat

  

  

  

  

  



Invitation to treat

  

 The Fate of the Offer



 Offeror may withdraw the offer



 Offeror may revoke the offer

 OFFER

 Offeree may reject the offer

  

 Offeree may accept the offer contract

  

 Offer may lapse due

 to passing of time

Withdraw / Revoke the Offer

reaching the offeree

acceptance

communicated to the offeree in some reasonably reliable manner

 Rejecting an Offer

 Offer can be rejected expressly or by implication

 How can be understood “implication”

  

  

  



Offeree’s conduct Offeree’s counter offer

  

  



Reply with any changes

  

  



Clarification of the terms

 Acceptance of the Offer

 Only the offeree may accept the offer

 Acceptance must be final and unconditional

 Acceptance must be communicated to the offeror

  

  

  

  



Silence does not amount to acceptance

  

  

 Offeror cannot force acceptance upon the offeree

When is the contract made?

 

ordinary course of business

information system

Postal Rule

communtication