Law for Business Essay Example | Topics and Well Written Essays - 1750 words

Law for Business - Essay Example Either the acceptance of an offer may be a statement of agreement, or, if the offer invites acceptance in this way, a performance of an act requested in the terms of the offer. It is important to note that acceptance is the final and unqualified acceptance and it must be according to the types and the requirements of the offer hence acceptance must exactly match the offer. Other forms of acceptance of an offer may be spoken, written, by action and an acceptance is never acceptance when there is silence and assumption. For example, if one tells a neighbor kid that if the kid mows the offeror’s lawn, the offeror will pay $50.00, and the kid does actually mow the lawn. The act of mowing constitutes the manifestation of the kid’s assent hence constituting an acceptance given the offer presented and the terms upon which it is presented. For a contract based on offer and acceptance to be binding and enforceable by law, the terms must be capable of determination in the same co urts of law in a way that it is clear that the parties assent was given to the same terms of agreement. The terms must be in the position of being able to manifest themselves or be determined determined objectively. They may be written, or sometimes oral, although some kinds of contracts require writing as evidence of the agreement to be enforced in the courts of law. What is an offer? In an offer the offerer decides to make an offer and goes further vto communicate the offer. The offeree is then left with the responsibility of either accepting or rejecting the offer of which they have to communicate the acceptance in the case they decide to accept the offer with the terms around it Fisher v Bell [1961] 1 QB 394. The offerer then decides to receive the acceptance and the contract remains binding. An offer therefore can be defined as definite promise to be bound upon some specific terms, making it be a proposition by one party to another party on fixed terms that are fixed or in a po sition of being fixed. This is with the intention that it will be binding when accepted by the offeree in either of the forms prescribed for acceptance. In fact, a definite offer does not need to be made to a specific person, this is because it can be made to a particular class of persons or the world in general and it would remain binding if all the requirements were adhered. An  offer  is actually an expression of willingness to contract on certain terms, made with the intention that it shall become binding as soon as the person to whom it is addressed, the â€Å"offeree† [G.H. Tretel, The Law of Contract, 10th edn, p.8], accepts it. The â€Å"expression† referred to in the definition of an offer may take different forms, such as a letter, newspaper, fax, email and even conduct, as long as it communicates the basis on which the offeror is prepared to contract. The â€Å"intention† referred to in the definition is objectively judged and only determinable by courts. The English case of Smith v. Hughes (1871) LR 6 QB 597 emphasizes that the important thing is not the party’s real intentions but; how a reasonable person would view the situation making. This makes an offer not to be so specific to an individual. This is mainly due to common sense as each party would not wish to breach his side of the contract, if it would make him or her culpable to damages, it would especially be contrary to the principle of certainty and clarity in