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GDL Contract Law Study
Guide Notes
Smith v Hughes (1871)
Agreement I - Objective Approach to agreement: The law applies an objective test of
intention, the reasonable man.
Gibson v Manchester City Council (1979)
Agreement I - Certainty of Offer: An offer must be clear and certain (i.e. not just an
invitation to treat).
Partridge v Crittenden (1968)
Agreement I - Intention to be bound - Advertisements: The general rule regarding
advertisements is that they are regarded as statements inviting further negotiations or
are invitations to treat.
Carlill v Carbolic Smoke Ball Co. (1893)
Agreement I - Intention to be bound - Advertisements - Exception to the general rule: It
should be noted that the general rule concerning adverts does not apply where the
advertisement amounts to a unilateral offer...the famous case.
Fisher v Bell (1961)
Agreement I - Intention to be bound - Display of goods for sale: The general rule is that
price-marked goods displayed in a shop window are not an offer for sale but an
invitation to treat.
Spencer v Harding (1870)
Agreement I - Intention to be bound - Invitations to tender: The general rule is that an
invitation to tender is an invitation to treat.
Harvey Investments v Royal Trust (1985)
Agreement I - Intention to be bound - Invitations to tender - Exceptions to the general
rule: If an invitation to tender expressly contains an undertaking to accept the highest or
the lowest bid.
Payne v Cave (1789)
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