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Question: 1. George is a used car salesman. In January 2008 he put a notice in the local newspaper advertising a special offer on a 1992 Fiat Panda offering to sell the car for £50 to the first person to walk in the door of his store on the last Sunday of the month (27th January). Janet read the notice and sent a letter to George accepting his offer saying that she would be there on the last Sunday of January to make the payment. Anna also saw the notice but thought the price too high and called George to discuss it. On 26th January she offered George £40. George thought this was a fair price, placed a notice on his website saying ‘Offer on Panda withdrawn’ and consented to sell to Anna. It was agreed that Anna would pick up the car the next day (27th January). On 27th January, before Anna showed up to collect the car, Fiat collector Richard was the first person to enter the store and offered George £500 for the car. George agreed and Richard drove the car away minutes before Anna and Janet walked in the store, both demanding the car.

Advise George.

Answer: This case firstly concerns the issue of whether George’s advertisement could be considered a Unilateral offer or just an ‘invitation to treat’. In the case of Carlill v Carbolic Smokeball company, the court held that the advertisement for consumers to claim compensation in the event of the failure of the ‘smoke ball’ medication constituted a unilateral offer and not just ‘mere puff’ because purchasing and using the smoke ball constituted good consideration as it was a distinct detriment to the consumers incurred at the behest of the company and more people buying smoke balls by relying on the advert was a clear benefit to Carbolic. Moreover, in a similar case of Lefkowitz v. Great Minneapolis Surplus Store, the advertisement for 2 brand new fur coats worth $100 to be sold......(short extract)

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Details: - Mark: Not available | Course: Contract Law | Year: 1st | Words: 1425 | References: No | Date written: June, 2008 | Date submitted: May 13, 2015 | Coursework ID: 925

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