SEMINAR 2 – FORMATION OF CONTRACT 1 :

INTENTION TO CONTRACT & AGREEMENT - OFFER & ACCEPTANCE

Concept Questions

1. What is the difference between a contract and an agreement

in general ? Are all agreements contracts ?

2. Name the elements of a contract.

3. a) Define “intention to create legal relations”.

b) State the general presumption regarding intention in
agreements between family members and friends, as well as those
made in a commercial or business context.

4. a) Define “offer”
b) Define “invitation to treat”
c) What is the main difference between an offer and an
invitation to treat ?

5. Name some well established examples of invitations to treat.

6. Under S14 of the Electronic Transactions Act, what is an internet

advertisement regarded as under the law ?

7. Describe the differences between a unilateral offer and a

bilateral offer.

8. (a) Describe a counter-offer.

(b) List down the other ways an offer may be terminated.

9. (a) Define “acceptance”.

(b) What is the general rule under Entores v Miles Far East
regarding acceptance ? Describe the exceptions to the rule, if
any.
10. (a) The modes of instantaneous communication are:
- face to face
- telephone
- telexes
- faxes
- email
What is the business practice &/or the statutory requirement
regarding receipt of acceptance with regards to those
instantaneous modes of communication ?
(b) What does S13 Electronic Transactions Act (Cap 88) say
about time and place of dispatch and receipt of electronic (email)
communication ?

11.a) Define the postal rule.

b) Does the postal rule apply to all letters of acceptance ?
State the conditions for the application of the postal rule.

12. How can you withdraw an acceptance if an acceptance,

once communicated, cannot be withdrawn ?