Contracts (O’Byrne)
Termination of Offer via withdrawal/revocation
(Byrne; Dickinson; Errington)
An offer is terminated by withdrawal/revocation
I.
An offer can be w/d at any time before it is accepted.
*Byrne
II.
As another general rule, revocation has to be communicated to offeree
Byrne v. Van Tienhoven
Oct. 1: Δs in Cardiff, mail offer to sell tinplates to Ps in NY.
**Oct. 8:
Δs mails revocation of offer.
Oct. 11:
Ps accept offer by telegram; contracts to sell s/m to 3rd P.
Oct. 20:
Ps receive letter of revocation of Oct. 8.
III.
Communication need not come from the offeror, per Treitel
Dickinson v. Dodds
Wed. June 10:
Dodds (Δ) makes firm, written offer to sell property to Dickinson
(P) . Offer open until Friday, June 12.
Thurs. June 11:
Dickinson (P) hears from Mr. Berry (P’s agent) that Dodds (Δ) had
been offering or agreeing to sell the property to Allan.
Later that night
Dickinson (P) delivers written acceptance to Dodd’s relative, as he
was staying with her. This acceptance is never received as the
relative forgot to give Dodds the acceptance.
Fri. June 12:
P’s agent (Berry) found Dodds at the rwy. stn. and handed him a
duplicate of Dickinson’s acceptance.
Dodds responds: “You are too late. I have sold the property.”
2
IV.
The revocation rule in the context of a unilateral contract
Errington v. Errington
Facts: a father bought a house for 750 pounds of which he borrowed 500
pounds. He allowed his son and daughter in law to live there. The arrangement
was that they would make the mortgage payments and, when the mortgage was
paid off, he would transfer the house to them
Mortgagor:
person who, having all or some part of title, by written instrument
pledges that property as security for debt.
Mortgagee: person who takes, holds, receives the mortgage (often, the bank.)
Mortgage:
an interest in land created by a written instrument providing
security for payment of a debt.