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Shah, in response to an inquiry by Onyango regarding the possible sale of his (Shah's) car, wrote to Onyango stating, “I have decided to sell to...

      

Shah, in response to an inquiry by Onyango regarding the possible sale of his
(Shah's) car, wrote to Onyango stating, “I have decided to sell to you my car for
$5,000. If I hear nothing from you before next Sunday, I will take it that you have
accepted. “Onyango considered the price to be too high and decided to look for another
car but forgot to reply to Shah's letter. Shah is now threatening to sue Onyango for
breach of contract.

Advise Onyango.

  

Answers


Maurice
This problem is based on communication of acceptance by the offeree. As a general rule
silence does not amount to acceptance.

In this case Shah's statement to Onyango to the effect that “I have decided to
sell to you my car for $ 5,000” is an offer to which Onyango did not respond.

This amounted to a rejection of Shah's offer. It therefore follows that Shah has
no actionable claim against Onyango as there is no contract between them.

My advice to Onyango is that there is no cause for alarm as Shah has no action against him.

My advise is based on the decision in Felthouse V. Bindley whose facts were substantially
similar.
maurice.mutuku answered the question on May 2, 2018 at 14:00


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