Payne v. Cave

Payne v. Cave

"Payne v. Cave" (1789) 3 TR 148 is an old English contract law case, which stands for the proposition that an auctioneer's request for bids is not an offer which can be accepted by the highest bidder.

The is however qualified by "Barry v. Davies" [2000] 1 WLR 1962, that if the auction is advertised as being "without a reserve price", then the auctioneer is bound to sell to the highest "bona fide" bidder (and not the seller himself, as attempted in "Warlow v. Harrison] ").

Also, the Sale of Goods Act 1979, s. 57(2) says that a contract of sale is not completed at an auction until the auctioneer's hammer falls.

ee also

*"Invitatio ad offerendum"


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