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JAFARI MRISHO KIGANZA
[email protected], +255 713 301972
-21st
jan 2008-An offer was made by Kipepeo.
-The offer was to sell three motorbikes at Tshs750,000/=to Zebedeo.
-The offer was to remain open for 14 days.
-On 25th
Jan 2008 Zebedeo wrote a letter of acceptance of an offer.
-On 30th
Jan 2008 Kipepeo wrote a letter of revocation to Zebedeo.
An offer As under section 2(1)(a)of the contract ordinance an offer is defined as;
When one person signifies to another his willingness to do or to abstain from doing
anything, with a view to obtaining the assent of that other to such act or abstinence, he is
to make a proposal.The terms of an offer must be clear an certain and it must have been
made willingly.
Acceptace: As under s.2(1)(b)acceptance is defined as signification of assent to
the proposal by the person to whom it was made. It must be firm and final expression of
assent to the person according to the terms of the proposal by the proposer.
Kipepeo made an offer to Zebedeo and an offer was accepted by Zebedeo within 4 days
as far as the offer was still open and at the time of writing the letter both of them were
bound by the contract and so Kipepeo could no more make a revocation that he made,
since the offer was already accepted and so the contract was complete Kipepeo could not
breach the contract.
Both Tanzanian law and the common law of contract were complete.
As under the common law the contract is complete when the acceptor posts the
letter of acceptance to the offerer. The contract is complete,even if the letter might not
reach the offeror/proposer.
Kipepeo was bound by the contract as far as the letter of acceptance had already been
posted by offeree that is Zebedeo.
Under the common law position:
The problems encountered by the common law position is when acceptance can be said
to be complete so as the contract can be concluded.There some cases that helps to
illustrate the time when the letter of acceptance is complete in case the letter is posted and
so I would give my advice to Zebedeo as against the revocation that was made by
Kipepeo.I would advice Zebedeo to sue Kipepeo to the court since Kipepeo was already
bound by the contract as far as Zebedeo had already sent an acceptance letter to Kipepeo
within the days when an offer was still open,using some ellaborative cases to show him
that the revocation was invalid and Kipepeo would be bound by law by using the
following cases;
Adam v.Lindsell(1818):Under this case the court argued that communication
of acceptance by post,will have a contract completed at the date when the letter is
posted.This is considered so regardless of whether the letter of acceptance will succeed to
reach the offeror(destination)or not.Under the argument the offeree will also be bound at
the moment when he/she has posted the letter of acceptance.
Thesger,L.J.(1879):Thesiger furter gave strength to the Adam v.Lindsell casw
by arguing that a contract is complete immediately when the letter of acceptance in
reached to the post and it is binding as if the letter has directy been handled to the
offeror.Under this incidence the post is treated as an agent between the offeror/proposor
and the offeree.
Bryne v.Tienhoven(1880) and Henthorn v.Frase.
Under this case,it was argued by Lord Herschell that,it must be understood by both the
parties that,once the letter of acceptance is posted, both the offeror and the offeree are
bound by the contract as far as the acceptance is complete at the moment of delivering the
leter to the post office even if the letter might not reach the destination(offeror).This rule
does not give any opportunity to the acceptor to revoke the acceptance by a fast media
say a telephone.
The position under the law of contract ordinance:
Section 4(2)provides as to when communication of acceptance is complete:
4(2) The communication of acceptance is complete
i) as against the proposer; when it is put under the course of transmission to him,
in order to be out the power of the acceptor;
ii) as against the acceptor when it comes to the knowledge of the proposer.
Under this the acceptor is only bound at the moment when the acceptance by the
proposer comes to the knowledge of the proposer and he can make a fast revoke
before communication of acceptance gets into the knowledge of proposer.
Section (6) of the contract ordinance states that a proposal can be revoked in case the
accept or fails to fulfill a condition prior to acceptance and since Zebedeo had not
failed to fulfill the condition, I would still use this case to advice him.
Conclusion: As far as the common law of contract and Tanzanian law are
concerned, once the letter of acceptance is posted the contract is complete and due to
this, I would advice Zebedeo to sue kipepeo in case, Kipepeo goes on revoking the
offer which he had made of selling three motocyles to Zebedeo.I would give him this
advice because Zebedeo is likely to win the case as far as the contract can not be
breached once the letter of acceptance has been posted.