GREAT NORTHERN RAILWAY COMPANY V. WITHAM [1873] LR 9 CP 16
Court of Common Pleas (England) – 6 November 1873
FACTS
Great Northern advertised for tenders for the supply of iron for a period of twelve months.
Witham tendered to supply the iron required for the period at certain fixed prices and “in such quantities as the company’s store-keeper might order from time to time”.
Great Northern accepted the tender but eventually Witham stopped supplying the iron. Great Northern sued for breach of contract. Witham defended the claim and alleged that the agreement was not an enforceable contract as the was no consideration by Great Northern.
ISSUES
The court had to decide the obligation of a party who submits a tender guaranteeing their ability to provide goods and services at fixed prices when this tender is accepted by the party inviting tenders.
FINDING
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