formation of contract

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aylee_
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#1
Report Thread starter 1 year ago
#1
hi guys, I've been revising for my mocks, but something I've come across in a problem is confusing me

if a company only accepts offers via a form but an employee didnt know this and accepts a written offer, is this valid? would the answer still be the same if the offeror had previous dealings with them and knew they had to offer via form?

Tia!
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one_two_three
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#2
Report 1 year ago
#2
Yes, through vicarious liability. An employee is acting on behalf of the company, and provided they have acted in good faith, then the acceptance remains valid.

I think if it was known that the offer had to be accepted by form and no other way then you would have to look deeper into the situation - for example, is the offeree acting in a fraudulant manner? Is it to avoid being bound by contract? What was their intention and purpose when they accepted via letter? How has the company acted after the letter of acceptance is received? If the company commences their obligations under the contract upon receipt of the letter then the variation to acceptance has been allowed.
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aylee_
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#3
Report Thread starter 1 year ago
#3
(Original post by one_two_three)
Yes, through vicarious liability. An employee is acting on behalf of the company, and provided they have acted in good faith, then the acceptance remains valid.

I think if it was known that the offer had to be accepted by form and no other way then you would have to look deeper into the situation - for example, is the offeree acting in a fraudulant manner? Is it to avoid being bound by contract? What was their intention and purpose when they accepted via letter? How has the company acted after the letter of acceptance is received? If the company commences their obligations under the contract upon receipt of the letter then the variation to acceptance has been allowed.
thankyou!
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aylee_
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#4
Report Thread starter 1 year ago
#4
(Original post by one_two_three)
Yes, through vicarious liability. An employee is acting on behalf of the company, and provided they have acted in good faith, then the acceptance remains valid.

I think if it was known that the offer had to be accepted by form and no other way then you would have to look deeper into the situation - for example, is the offeree acting in a fraudulant manner? Is it to avoid being bound by contract? What was their intention and purpose when they accepted via letter? How has the company acted after the letter of acceptance is received? If the company commences their obligations under the contract upon receipt of the letter then the variation to acceptance has been allowed.
another quick question- in a frustrated contract, where there is part performance before frustration, can expenses be claimed?
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one_two_three
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#5
Report 1 year ago
#5
As long as the expenses are reasonable. Both parties should return to the point at the beginning of the contract as if it was never formed which includes a refund of reasonable expenses.
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