Gibbons v Proctor [1891] 4 LT 594

KEY POINTS

• Although advertisements are commonly considered invitations to make an offer, there are situations where they can actually constitute offers. This is particularly probable when the advertisement is accepted through an action and doesn't permit room for negotiation. In such cases, the recipient of the offer can either accept it as is or reject it.

FACTS

• A Superintendent issued an advertisement offering payment for information that would lead to the arrest of a criminal. The advertisement specified that the information needed to be given directly to the Superintendent.

• A police officer asked a colleague to pass on valuable information to the Superintendent. However, at the time of this conversation, the police officer was unaware of the reward offer mentioned in the advertisement.

• Before the information reached the Superintendent, the police officer learned about the reward offer. 

JUDGEMENT

• The police officer is entitled to the award.

COMMENTARY

• This case established a precedent suggesting that acceptance of an offer can occur even when the offeree is initially unaware of the offer. Normally, the acceptance of an offer requires knowledge of the offer itself, but an exception was made in this case due to the nature of the offer, which was characterised as a unilateral contract.

ORIGINAL ANALYSIS

• Proctor, a superintendent, offered a reward for information leading to the capture of X. Gibbons, a policeman, offered the info to a 3rd party to relay it to Proctor before he knew of the reward. Gibbons knew of the reward by the time the information was relayed to Proctor.

• The court held that he was entitled to the reward.

• This suggests that acceptance of an offer can occur, even if one is unaware of the offer.

• The general rule is that knowledge of an offer is required before it can be accepted but an exception was made in this case because the offer was of a unilateral contract.

RELATED CASES

• R v Clarke