Advertisements are often invitations to make an offer. In most cases, we are still at preliminary stage and therefore we are not in front of a valid offer.

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BlackTom AI · Accepted Answer

In contract law, advertisements are typically treated as invitations to treat rather than offers. This means they invite others to make an offer, rather than constituting a binding promise to enter into a contract themselves.

Option 1: True. This aligns with the standard distinction between an advertisement and an offer. The wording describes advertisements as invitations to make an offer and notes we are usually at a preliminary stage, which is consistent with the general rule that ads are not offers and do not create immediate, enforceable obligations.

Option 2: False. If an advertisement were an offer, it would create an immediate obligation upon acceptance by any recipient. In practice, advertisements are designed to be persuasive to a broad audience but do not specify all essential terms or demonstrate intent to be bound to everyone who reads them. That undermines the typical, legally recognized characterization as an invitation to treat rather than a firm offer.

Other nuanced points: Some high-value or highly specific advertisements (e.g., rewards, unilateral offers where performance constitutes acceptance) can blur the line, but the general rule remains that most advertisements are invitations to offer, not offers themselves. The statement emphasizes the preliminary stage and lack of an immediate valid offer, which supports the common understanding in contract doctrine.

Advertisements are often invitations to make an offer. In most cases, we are still at preliminary stage and therefore we are not in front of a valid offer.

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Similar Questions

A key element of a valid offer is the intent : The offeror must genuinely intend to be legally bound if the offer is accepted.

An offer may be defined as a statement of willingness to contract on specified terms made with the intention that, if accepted, there will arise a binding contract.

Advertisements are often invitations to make an offer. In most cases, we are still at preliminary stage and therefore we are not in front of a valid offer.

An offer may be defined as a statement of willingness to contract on specified terms made with the intention that, if accepted, there will arise a binding contract.

April put an advertisement in the newspaper advertising the sale of her computer for $500. Simultaneously, six people responded to the ad by mail with formal written acceptances. April is bound on all six contracts to sell her computer for $500.

When Olga asks Sven if he wishes to sell his Harley motorcycle, he replies that he would not sell it "for less than $2,000." Olga replies, "I accept," and hands him $2,000. A contract exists.

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