#standing offer

Standing offer

An offer to supply goods for a period up to a certain amount as required is known as a standing offer. The offer is accepted each time an order is placed, giving rise to a series of independent contracts. The standing offer can be withdrawn or revoked at any time prior to an acceptance. Once revoked no further acceptances are valid unless the offer is renewed.

Colonial Ammunition Co. v Reid (1900) 21 LR (NSW) 338*

Great Northern Railway v Witham (1873) LR 9 CP 16

Allow me to share the worst question I had in my contract tutes.

Question 2.3 (b)

Preston Pi contacted Max Mandrake and told him that for February Pi would require 1500 drums. Mandrake told Pi that there was a problem – due to escalating costs he can no longer supply the drums at $25 and would now need to charge $26 per drum. Pi told him that was his bad luck because ‘we had a deal’ and that in March Pi would need 1750 drums.

What is the total number of drums that Mandrake Metals is obliged to supply Pi in February and March (ie added together)?

My probably wrong answer:

1. 1500 have been ordered and locked in via communication.

2. Change in circumstances. 750 standing offer. Standing offer is revoked when withdrawn until an order is placed. 750 is gone because it was not ordered with the 1500.

3. Total is then 1500 for FEB + 1000 for MARCH.

“Which one, Dad?” Kaede asked, holding up two different figure skating outfits on hangers.

“They’re both beautiful, sweetie.”

“Yeah, but which one? Which one should I wear to the competition tomorrow?”

“Hmmm...”

Since the initial manifestation of her abilities, Kotetsu had vowed to work extra hard to make sure to spend more time with his daughter. She was progressing well with her powers, but he knew from experience that it was always nice to talk to someone who really knew what it was like. Coincidentally enough, this particular trip out to the village lined up with Kaede’s latest figure skating contest. Kotetsu was looking forward to seeing it, especially after having missed the last few.

“Well, if I have to pick one, then, the red one,” he said, gesturing.

“Ok then, I’ll...hang on a second.” Kaede frowned. “The red one?”

“What, is that not a good choice?”

“How do you know it’s red?” she demanded, shaking the costume at him accusingly. “I thought you said that all the colors faded back to gray after Mom died!”

Whoops. Kotetsu winced.

“They did! I wasn’t lying to you, I swear. But, uh...well, recently, they’ve sort of...been coming back again.”

Kaede stared at him, mouth agape. “Dad, do you have a new soulmate?”

Kotetsu shrugged awkwardly. “I don’t know. I never imagined there’d be anyone else after your mom. But...I don’t know, maybe there is after all.”

“Why didn’t you tell me this sooner?” Kaede walked over to sit beside Kotetsu, tossing her skating costumes over the back of the couch as she went.

“Well, honey, nothing is set in stone yet. I didn’t want to get your hopes up for nothing.”

“Dad. Seeing in color is definitely not nothing. This is so exciting! Who is it? Can I meet her?”

“Ummmm.....Kaede, sweetie, the thing is, that, uh...this might not be exactly what you expect it to be.”

“What do you mean?”

Kotetsu frowned, wondering how much to say. “Welllllll....”

“Come on, Dad, tell me!”

“Well, for starters, this person I’m seeing is a man,” Kotetsu explained carefully.

Kaede gasped. “So, if you guys get married, I’d have two dads? That’s awesome!”

“Married?! Whoa, slow down there, honey. It’s a little early to be thinking about marriage.”

“But he’s your soulmate!”

“Adult life isn’t that simple.”

“Yes, yes it is. I think you’re making it more complicated than it needs to be,” Kaede said knowingly. “You should call him, and tell him I want to meet him, as soon as possible.”

“I’ll talk about it with him,” Kotetsu promised. “But if he doesn’t feel comfortable, then we can’t rush him, ok? We have to be considerate here.”

“Hmph. Ok, ok, I’ll wait.”

“Thank you. Alright, now, it’s getting late. You have to focus on your competition tomorrow, remember? Time to be getting ready for bed.”

“Yeah, alright.” Kaede stood and gathered up her costumes, heading back towards her room. In the doorway, however, she paused.

“Dad?”

“Yes, Kaede?”

“Nothing. Just that, I think you deserve to be happy. And I know Mom would say the same thing. So, you should take the chance, if you have it.”

Kotetsu smiled. His little girl was really growing up. “Thank you, sweetie.”

“You’re welcome. Good night, see you in the morning.”

“Good night.”

Kotetsu sat still for a long time after Kaede’s door had clicked shut behind her. He had a lot of things to think about.