Introduction
Contract law defines binding agreements between parties. A central part of forming contracts is the offer, which shows clear intent to make a contract on specific terms. The impact of an offeror’s death on an offer’s validity is discussed in Bradbury v Morgan (1862) 1 H. & C. 249. This case determines when an offer remains open for acceptance after the offeror’s death, particularly if the offeree is unaware of the death.
Offer and Acceptance: Basic Parts of Contracts
Contracts require an offer and acceptance. An offer must be clearly communicated, showing intent to be bound by its terms if accepted. Acceptance must fully agree to those terms. Bradbury v Morgan addresses how an offeror’s death affects this process.
The Facts of Bradbury v Morgan
Leigh had agreed to pay for goods supplied to his brother William Morgan up to a fixed amount. After Leigh died, the plaintiffs continued supplying goods without knowing of his death. When the limit was exceeded, they sought payment from Leigh’s executors. The executors argued the guarantee ended with Leigh’s death. The Court of Exchequer ruled in favor of the plaintiffs, stating the guarantee remained valid until they learned of Leigh’s death.
Legal Analysis in Bradbury v Morgan: Guarantees and Communication
The court distinguished continuing guarantees (which can end with death) from single-transaction guarantees (which cannot). Leigh’s guarantee was treated as continuing, so it stayed valid until the plaintiffs were informed of his death. This ruling highlights the importance of communicating changes that affect offers.
Current Applications: Ending Offers Due to Death
Later cases and debates have examined Bradbury v Morgan. Dickinson v Dodds (1876) 2 Ch D 463 established that offers can end if the offeree learns facts indicating the offer is no longer valid, even without direct notice. Generally, death ends offers unless payment exists to keep the offer open (as in option contracts) or in personal service contracts. Reynolds v Atherton (1921) 125 LT 690 confirmed offers cannot be accepted after the offeree dies.
Using Bradbury v Morgan Today
While historically significant, applying Bradbury v Morgan now requires caution. Its emphasis on guarantee types and communication remains relevant. Modern law considers offer terms, revocation, and changes such as death.
Real-World Examples
If a sole business owner dies before an offer is accepted, the offer usually ends. However, in larger firms, an individual’s death might not end offers, depending on their role.
For property sales, death before acceptance typically voids the offer. But with a paid option contract, the offer might remain valid after death.
Conclusion
Bradbury v Morgan clarifies how offers end when offerors die, focusing on guarantees and communication. Later cases like Dickinson v Dodds and Reynolds v Atherton updated these rules. Lawyers must review each case’s specifics, applying Bradbury v Morgan alongside recent decisions. Clear understanding of these rules aids in solving contract disputes effectively.
