Business Law Case Study Analysis

Running head: BUSINESS LAW
Business Law
Name of the Student
Name of the University
Author Note

1BUSINESS LAW
Table of Contents
Issue 1.............................................................................................................................2
Issue 2.............................................................................................................................3
Issue 3.............................................................................................................................5
Issue 4.............................................................................................................................7
References......................................................................................................................9

2BUSINESS LAW
Issue 1
To determine the rights of Jacob pertaining to his offer to buy the Boast Sound
System over a telephonic conversation.
Rule
An offer must be differentiated from an ‘invitation to treat’ which lays down an
person is willing to negotiate with a group of people for a certain purpose, unlike offer where
an offeror makes an offeror to the offeree, either to accept or reject. An invitation to treat is a
type of advertisement which attract offerors to make an offer to the person inviting as held in
Carlill v Carbolic Smoke Ball Company [1892] EWCA 1 where the plaintiff was the one
who accepted the public offer or invitation of the defendant for buying the Carbolic smoke
ball for the purpose that was held in the advertisement.
An offer is a willingness or an intention expressed by the offeror in order to do or not
to do something, thereby looking forward to the acceptance of the person to whom it has been
made (McKendrick 2014). An offer should be negotiated and talked about in order to settle
for the final decision where the offeror and offeree takes a particular decision in order to
either execute the offer or to reject it. An offer is either accepted or rejected by the offeree
and such acceptance must be communicated. Unless the offeree communicates his
willingness to execute the offer made by the offeror, an agreement cannot be established.
Therefore, an offer to which the offeree does not reply back or does not promise to execute
would stand rejected and the offeror cannot claim any rights from such offer. An offer
without a valid acceptance stands no chance (McKendrick 2014).
Application
In this section of the case study, Jacob responded to the advertisement put up by High
Five Systems for selling out Boast Sound System for $2000. Jacob’s offer to buy a sound