Dickinson v Dodds
An offer can be withdrawn at any time before acceptance, and the offeree can learn of the withdrawal from a reliable third party.
Facts
On Wednesday 10 June 1874 Dodds gave Dickinson a written offer to sell some houses for £800, stating that the offer was to be left over until Friday 12 June at 9am. On Thursday Dodds agreed to sell the property to Allan. That evening Dickinson heard from Berry, an agent, that Dodds had been offering or agreeing to sell to Allan. Dickinson then left a written acceptance at the house where Dodds was staying, and Berry handed Dodds a copy early on Friday morning, before 9am. Dickinson sued for specific performance.
Legal principle
The Court of Appeal held that there was no binding contract. A promise to keep an offer open for a period is not binding unless the offeree gives consideration for it, so Dodds was free to withdraw his offer before Friday. Although revocation must be communicated, it need not be communicated by the offeror personally. Dickinson knew, from a reliable source, that Dodds had changed his mind before he tried to accept, so there was no meeting of minds and the offer could no longer be accepted.
Related cases on offer and acceptance
- Adams v Lindsell (1818) 1 B & Ald 681
- Blackpool and Fylde Aero Club Ltd v Blackpool Borough Council [1990] 1 WLR 1195
- Brinkibon Ltd v Stahag Stahl und Stahlwarenhandelsgesellschaft mbH [1983] 2 AC 34
- Butler Machine Tool Co Ltd v Ex-Cell-O Corp (England) Ltd [1979] 1 WLR 401
- Byrne & Co v Van Tienhoven & Co (1880) 5 CPD 344
- Carlill v Carbolic Smoke Ball Co [1893] 1 QB 256
- Entores Ltd v Miles Far East Corp [1955] 2 QB 327
- Felthouse v Bindley (1862) 11 CB NS 869
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