Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Difference between offer and invitation
- This topic has 1 reply, 2 voices, and was last updated 6 years ago by MikeLittle.
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- November 6, 2018 at 8:56 am #483985
Dear sir
I can’t understand the difference between offer and invitation
Please explain the differenceThanks in advance
Regards
RakibulNovember 7, 2018 at 2:55 pm #484120It’s all in the lectures!
An offer is from one person to another – X to Y – and, if Y accepts the offer, a contract is formed
An invitation is, for example, where X says to Y “If someone would be prepared to pay me £20,000, I would be prepared to sell them my Ferrari”
It’s inviting Y to say “Yes, OK, I’ll pay you £20,000 in exchange for your Ferrari”
However, the statement by X was not an offer – it was an invitation. So Y cannot, by the response, claim that that response was acceptance of an offer – it was, in fact, an offer in itself from Y to X and it’s now up to X to decide whether to accept Y’s offer of £20,000 in exchange for the Ferrari
An invitation is not capable of acceptance – it’s there to invite others to make an offer. Thus, the person making the invitation is now, on receipt of responses received, in a position to decide whether to accept any of those responses
Is that any better?
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