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Harvey v. Facey: Case Summary - Contract Law Principles

11 September, 2025
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⚖️ Harvey v. Facey: Case Summary ⚖️

Understanding the fine line between an offer and an invitation to treat


📌 Introduction

The case of Harvey v. Facey is a cornerstone in contract law, clarifying the distinction between an offer and an invitation to treat. It established that merely quoting a price does not amount to an offer but is an invitation to negotiate.

📜 Facts

  • Parties: Harvey (buyer) and Facey (seller).
  • Dispute:
    • Harvey inquired if Facey would sell a property and requested the lowest price.
    • Facey replied: "Lowest price for Bumper Hall Pen: £900."
    • Harvey accepted this "offer," but Facey refused to sell.
  • Claim: Harvey argued that Facey’s price quote was an offer.
  • Defense: Facey contended it was merely a response to an inquiry, not an offer.

⚖️ Legal Issues

  1. Was Facey’s price quote an offer?
  2. Did Harvey’s reply create a valid contract?

🏛️ Judgment

No Offer: The court ruled that Facey’s reply was an invitation to treat, not an offer, as it lacked a clear intent to be legally bound.

No Contract: Since there was no offer, there was no valid acceptance or contract.

📚 Key Legal Principles

  • Invitation to Treat: Quoting a price is not an offer.
  • Offer and Acceptance: A valid contract requires a clear offer and acceptance.
  • Intention: A contract needs clear intent to create legal relations.

📖 Relevance to Indian Law

Under the Indian Contract Act, 1872:

  • Section 2(a): Facey’s response lacked the intent to make a proposal.
  • Section 2(b): Without an offer, no promise or contract exists.

🔍 Conclusion

The case emphasizes the necessity of distinguishing between an offer and an invitation to negotiate, forming a crucial principle in contract law.


📝 Legal concepts made simple for better understanding! ⚖️

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