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Lawwwwwwwwwwww Essay

904 words - 4 pages

The issue arises in this case is whether an offeror can be legally bound in the event if the offeree revert and accept to the original offer after they have changed the terms of the original offer and bounce it back for the offeror to accept.
In order to determine whether an offeror can be legally bound after offeree changes the terms of the original offer and then revert back to original offer, we need to consider the rule of acceptance. According to s.7(a) of Contracts Act 1950, “In order to convert a proposal into a promise the acceptance must be absolute and unqualified.” In other words, an offeree must agree with all terms introduced by the offeror. In the case if an offeree only ...view middle of the document...

The rejection of the original offer leads to termination of the offer. Once the offer is terminated, there is no longer anything left to accept and a contract will not be formed.
In our present case of Maria v Smart Kitchen, Maria has attempted to introduce a new term of an original offer. Smart Kitchen has offered to sell the bakery oven to the offeree, Maria for RM 10.000. Yet, Maria submitted an offer of RM 9000, which is rejected by Smart Kitchen; they have decided not to sell at that level of price. After that, Maria has appeared that she would willingly accept and pay the amount of RM 10.000. Due to the Maria has added new terms of the original offer introduced by Smart Kitchen, it has resulted in the original offer ceases to exist. In other words, it can be called as counter offer. Maria has actually made counter offer to purchase the bakery oven for RM 9.000. The counter offer has destroyed the original offer to sell the bakery oven for RM 10.000. As the original offer is no longer in existence, there is no way to accept and no contract is formed, hence Smart Kitchen could not be forced to sell the bakery oven to Maria as there is no binding contract between them.

One of the case law that court has decided to be a counter offer is the case of Hyde v Wrench (1840). D wrote to P on 6 June offering to sell his estate to P for £1000. P has...

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