Summary of Livingstone v. Evans
Alabama S. Ct. 1925
Relevant Facts: Df Evans wrote to PL offering to sell him land for $1800 on terms. The day of receipt the PL wired back a counter-offer, to which the Df did not accept. PL then wired back that he accepted the original price.
Legal Issue(s): Whether the counter-offer of the PL was in law a rejection of the Df’s offer and freed them from it?
Court’s Holding: Yes
Procedure: Specific performance judgment for the PL.
Law or Rule(s): When an offer has been rejected it is hereby ended and it cannot be afterwards accepted w/o the consent of him who made it.
Court Rationale: The Pl’s telegram was undoubtedly a counter offer. It put an end to the Df’s liability under their offer unless it was received by the telegram in reply to it. The Df’s reply “cannot reduce price," was a renewal of the original offer. It has one meaning, that df was still standing by the original offer and still open to acceptance.
Plaintiff’s Argument: Df original offer was never terminated, and only the counter offer was rejected.
Defendant’s Argument: The counter offer and the original offer were terminated and rejected, consecutively.