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Case study
SECTION A: TO BE COMPLETED BY STUDENT

_This assignment cover sheet needs to be included with each assignment. Please complete all details clearly._

_If you are submitting your assignment on paper, please staple this sheet to the front of each assignment._

_If you are submitting your assignment online, please ensure this cover sheet is included in front your assignment._

_Please check your study guide for assignment submission deadline and information._

Family Name

Quek

Given Names

Xiao Rong

Program/Intake & your program manager

Business Law/ 9/ Ms Karen Yap

Student No.

DipHTM0990

Module/Course/Unit

Business Law

Lecturer

Mr. David Chang

Assignment No.

-

Assignment Due Date

18th November 2008

DECLARATION: I HEREBY DECLARE THAT THE ATTACHED ASSIGNMENT IS MY OWN WORK. I UNDERSTAND THAT IF I AM SUSPECTED OF PLAGIARISM OR ANOTHER FORM OF CHEATING, MY WORK WILL BE REFERRED TO THE ACADEMIC REVIEW COMMITTEE/REGISTRAR, WHICH MAY RESULT IN ME BEING EXPELLED FROM THE PROGRAM.

Signature

XiaoRong

Submission Date

18th November 2008

SECTION B: COMMENTS FROM YOUR LECTURER

ASSIGNMENT GRADE:

On Monday, A proposed to B to buy B's car for $12,000 by post. It is primary to distinguish between an invitation to treat and an offer, as an offer once accepted creates a legally binding contract in which does not apply to the alleged acceptance of an invitation to treat. Therefore, the issue is whether the proposal from A is an offer or an invitation to treat.

An offer is defined in Preston Corpn Sdn Bhd v Edward Leong [1982] as an intimation of willingness by an offeror to enter into a legally binding contract. Its terms either expressly or impliedly must indicate that it is to be become binding on the offeror as soon as it has been accepted by the offeree. The crucial factor that determines whether something amounts to an offer is the intention to be bound, which is usually shown by the wording.

Conversely, an invitation to treat is



Cited: Low, K.Y., et al. Business & The Law, 1997. Singapore: Pitman Publishing Asia Pacific Major, W.T

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