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Supply of information, invitation to treat, vs offer

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Supply of information, invitation to treat, vs offer

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by MikeLittle.
Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • July 13, 2017 at 4:47 am #395682
    debaera
    Member
    • Topics: 27
    • Replies: 5
    • ☆

    Hi sir, I have a question.

    An offer is treated as an offer if it is sufficiently definite in terms of price, delivery and goods.

    “Ax, a manufacturer from Yellowland, contacted Bo, a manufacturer from Redland, to enquire about Bo
    making special screws of a particularly high quality. Bo provided by return a list of prices and delivery
    periods.”

    But then why is Bo’s reply to Ax treated as a supply of information instead of offer?

    July 13, 2017 at 6:01 am #395687
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23347
    • ☆☆☆☆☆

    Because Ax’s contact was merely an enquiry

    If you write to BPP and ask about the availability of their F4 material deliveries to Bhutan and they respond with details of exactly what their material is, the cost per unit and the delivery dates … all they are doing is answering your enquiry.

    If you write back and say “Accepted” you are not in any enforceable contract

    For a contract to develop from the above situation you would need to write again and say something like “Thank you for your response. May I please now order 2 copies of the study text for F4 (Global) at the indicated price to be delivered to (address) as soon as possible and no later than 31 July”

    That’s your offer. Their response is probably to send a confirmation order and that then creates the contract

    Ok?

  • Author
    Posts
Viewing 2 posts - 1 through 2 (of 2 total)
  • The topic ‘Supply of information, invitation to treat, vs offer’ is closed to new replies.

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