Offer in English contract law
An offer sets out terms on which the offeror is prepared to contract once the other party accepts. In English contract law, distinguish an offer from an invitation to treat, which invites another party to make an offer. An offer can cease to be available through rejection, valid revocation, lapse or other circumstances, subject to the facts and governing law. A proposal’s wording and context matter more than its label. Further requirements, including consideration and intention where applicable, determine whether a contract is enforceable.
Worked example
A supplier offers to sell 100 components for $1,000 until Friday. The buyer considers whether to accept those stated terms before the offer ends.
Common mistake
Assuming every advertisement is automatically a binding offer or that a withdrawn offer can always be accepted.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | LW (ENG) | Direct | September 2026–June 2027 |