Legal Rights to Refuse Sale of Book

ENTERPRISE LAW
STUDENT ID:
[Pick the date]

Question 1
Issue
The main is to comment if Carla possesses the legal right to not sell the book to Brenda
irrespective of the fact that the book is displayed for sale at the store.
Rule
A valid agreement will be formed when there is lawful offer and acceptance. Offeree needs to
communicate the acceptance for the offer to the offeror in order to enact the contract. Here, it
is imperative to note that any acceptance towards invitation to treat would not be considered
as acceptance rather its just an offer which may be accepted or rejected by the offeror. Hence,
it becomes essential to find whether it is an offer for acceptance or invitation to treat to direct
offer (Andrews, 2014). Any advertisement regarding the sale of object/goods with a price
sticker would not be termed as offer as it is just invitation to treat. The verdict of
Pharmaceutical Society of Great Britain v Boots Cash Chemists (Southern) Ltd [1953]
EWCA Civ 6 is testimony of this underlying fact where it had stated by the honourable court
that the seller company has all the legal rights to accept/reject the offer of buyer when it is
invitation to treat (Taylor & Taylor, 2015).
Application
There is a display at the window of the Clayton Books Store for the sale of a book which also
indicates the price of the book. Brendan approaches Carla (the store representative) to buy the
book. However, Carla informs him that all the respective copies of the book are already sold
but still he can search at the back of the shop. Brendan finds another copy of the exact same
book and hence, he takes the book along with the correct money as displayed at the window
to purchase the book. Here, it is apparent that display of the book at the store is not an offer
and rather invitation to treat which means the acceptance of Brendan to buy the book at the
mentioned price is not an acceptance but rather an offer in response to the invitation to treat.
Further, as per contract law principle, when the buyer extends any offer, then the seller party
has the legal rights to refuse or accept the offer of buyer. Hence, Carla is legally entitled to
refuse to sell the respective book to Brendan.
Conclusion
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Display for the book sell is invitation to treat and thus, the acceptance of Brendan to purchase
the book would be considered as offer which can be legally rejected by Carla.
Question 2
Part A
Issue
The issue is to offer a legal advice to Edward as to whether he has enacted a valid agreement
with Greg or not as Greg has mailed him regarding the revocation of the acceptance.
Rule
A key requirement for the formation of an agreement is the existence of valid and matching
offer and acceptance. With regards to offer, the means of communication is immaterial as
offer would become valid only when the same is received by the offeree. However, this is not
the case with regards to acceptance. The timing of validity of acceptance is dependent on the
mode of communication that is deployed (Edlin, 2015). The postal rule of acceptance has
been highlighted in Adams v Lindsell (1818) 1 B & Ald 681 case. As per this rule, acceptance
communicated through postal media would become valid at the very instant when the offeree
has posted the acceptance letter. The time by which the acceptance letter reaches the offeror
is not taken into consideration for contract formation (Carter, 2016). The contract is deemed
to have formed at the time of posting of the acceptance letter. Any revocation of offer or
acceptance after this moment would not impact the enforceability of the legally binding
contract (Parker & Davenport, 2014).
Application
An offer has been sent by Edward to Greg on 4th February through the use of postal media.
This letter has been received by Greg on 7th February and on the same day the offer becomes
valid. The acceptance letter has been posted by Greg on the same and hence acceptance has
become valid on 7th February as per the postal rule of acceptance. This implies that a valid
agreement between Edward and Greg has been formed on 7th February. The fact that
acceptance letter is received by Edward on 11th February has no relevance for contract
formation. Further, the acceptance is revoked by Greg through email after sending of postal
acceptance. This would not have any impact as contract formation has already happened.
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