1 April\'. Cid, who was morried to an enploet o ythl thath oe ot its coputer pro

Question

1 April'. Cid, who was morried to an enploet o ythl thath oe ot its coputer products - the Brag: saw the advert and decided to work n the Jarinry edition of its Ltd. design a solution to the Brag problen before ed by notify Ace Ltd the March edition of its journal cancell ing on or iny decighon it. Ed solved the problem, but before he could Journato cancel the Brag product and placed a note in on it. ra March e Ltd td dectdo Required (a) Identify whether an offer of revard crestes 5 marks) (b) State whether Cid has rightofacti did in attempting to solve the Brag probles (o) State whether Ed has any right of action aelist e teral contract a unilateral or bila dny right of action sgsinst Ace Ltd for the work that he itd for the work nst Ace L nar in solving the Brag problen (6 marks) (Total 15

Explanation / Answer

In this case, the offer of reward is considered as unilateral contract. This is because an offer of reward in case of unilateral contract is made to many people by means of advertisement. In this situation, acceptance can occur only on the satisfaction of the condition which in this case is solving problem with one of its computer products. Whereas bilateral contracts are those where both the parties to contract make promises to other party which is not the scenario in this case. For cid, he can’t claim any action against ACE ltd, this is because, and he only started to attempt the work & did not provide any solution to the problem. If he has to be compensated, then many people who saw the ad would have started to attempt & it would not be possible for the company to reward everyone. In case of Ed, though he did not give any acceptance for his offer, the offeror has no right to revoke the offer once the performance has already started. But in this case, Ed not only started the task, but he completed it. Hence ace group is obliged to reward Ed.

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