The CA Hub

CIMA BA4 · Chapter 10 · Question 1 of 10

Under English law, a shop displays goods on its shelves with price labels. What is the legal status of the display?

Test yourself: pick an answer

Reveal answer & explanation

Correct answer: C) An invitation to treat

Explanation

Displays of goods in shops are invitations to treat, inviting customers to make offers (Pharmaceutical Society of Great Britain v Boots; Fisher v Bell). The customer makes the offer at the till, and the shop accepts or rejects it. This lets the shop refuse to sell, for example if a price is mislabelled.

All 10 questions in Chapter 10Law of contract: formation MCQs with answers

More Law of contract: formation MCQs

Sponsored slot availableRun a CA academy or hiring firm? Put your name in front of students preparing for this exam.Advertise →