LEGAL PRINCIPLE: CONTRACT LAW — Offer and Acceptance — Distinction Between General Policy Directive and Contractual Offer
PRINCIPLE STATEMENT
A general policy directive or statement does not constitute an offer or representation capable of acceptance to form a contract.
RATIO DECIDENDI (SOURCE)
Per Ogwuegbu, JSC, in Agoma v. Guinness Nigeria Ltd. (1995) NLC-1891992(SC) at p. 1; Para. C.
"In addition, no offer or acceptance could be imported into Exhibit "B" as the appellant has tried to argue. No offer or representation was made to the appellant or any body in Exhibit "B"."
EXPLANATION / SCOPE
A general policy statement is not an offer. No contract can be formed by acceptance of such a statement. The principle applies to all contractual claims. The party must show a specific offer made to them. The court will examine the document’s language. The rule prevents the creation of contracts from general announcements. The party must show intention to create legal relations.
