AGREEMENT
Invitation to treat
This is determined with reference to the facts and circumstances of the case (AWM v
Commonwealth).
___________[the specific act] is likely an invitation to treat as:
[select from options below]
<it is vague and contains no reference to any specific terms. Hence, it may be regarded as
nothing more than a step to enter into further negotiations (Gibson v Manchester City)>
<it is a display/presentation of goods/products, encouraging others to make potential offers
(Pharmaceutical Society v Boots Chemists). Note: In these scenarios, the offer materialises
when final products are presented by the customer. Further, they would not be bound unless
the cashier has accepted that offer.>
<it has been sent to an indeterminate amount of people (Grainger v Gough). It is unlikely
that it would be an ‘offer’ capable of being accepted by the first person who responded to it
nor is it reasonable for the seller to be obliged to sell to every potential customer who sees it>
Offer- Traditional Approach
___________[the specific act] is likely an offer because it contained all the necessary
essential terms (such as price, date, duration – apply the facts e.g. when, what; details need to
be filled in) needed to conclude a bargain. Hence, a reasonable person would construe
______[apply the facts] as an offer (Carlill v Carbolic Smoke Ball).
A proposal employing a language of command, will not be considered an offer (Brambles
Holdings). An offer must be capable of being accepted or rejected (Brambles Holdings).
Ticket Cases
Per Stephen J – Conventional Analysis:
The ticket constitutes an offer by the airline (MacRobertson Miller Airline Services). This
is capable of acceptance or rejection by the passenger once they have had a reasonable
opportunity to read the conditions. The ticket merely records the terms of an offer.
Note: No agreement is formed at the time the ticket is issued. Rather, a contract may only be
formed after a reasonable time has passed OR when the passenger has accepted by boarding.
Per Barwick CJ – ticket cases have a similar arrangement to unilateral contracts:
