Carill V Carbolic Smoke Ball Company Case Study

1a) offer

An offer is a definite and clear promise to be bound on specific term(s), when accepted, the contract is binding on both the offeror and the offeree.

An offer can be made to a specific person, a group or the whole world. Carlill v Carbolic Smoke Ball Company [1893] (influenza and use of smokeball)

In this case, peter recent lost his dog and posted an advertisement. With this manner, it is part of Invitation to treat. But an advertisement is usually an offer because of clear intention with reward of $2000 for any person who could return the dog to him. Peter can’t refuse the reward by Mary due to the dog found by conduct. Also, there was no reason why an offer could not be made to the world in general which could then become a contract with anybody who came forward and performed the condition.

Acceptance

An acceptance is an unqualified agreement to all the terms of the offer. Silence is not an acceptance. Acceptance must be communicated to the offeror.

It is because he posted an advertisement in newspaper for a reward of $2000 for any

Person who could return the dog to him, so it is belonged to acceptance of unilateral contract. Quote the case Carlill v Carbolic Smoke Ball Company [1893]

To sum up, Mary is entitled to gain $ 2000 as a reward legally.

1b) Consideration

An agreement of gift is not enforceable and a deed of gift does not need consideration to be binding in specialty contract. Based on this case, Mary gives up something (Cost in time of seeking the dog) in exchange of something (benefit of $ 2000) . It may originally be an executed consideration. If Mary know the advertisement early, she can get the reward of $2000 immediately. However, Peter don’t agree and it may not be an executed consideration by now. What a more, it is involved the executory as Peter didn’t say that he gave a reward two days