case law wrriten by Barrister Amna
Carlill v Carbolic Smoke Ball Co (1893)
.jpg)
📝 Name of the Case
Carlill v Carbolic Smoke Ball Co (1893)
Court: Court of Appeal (England)
Citation: [1893] 1 QB 256
📚 Introduction
This is one of the most famous cases in contract law. It explains how a unilateral contract is made and when an advertisement becomes a valid offer.
👩⚖️ Parties Involved
Plaintiff (Claimant): Mrs. Carlill
Defendant: Carbolic Smoke Ball Company
.jpg)
.jpg)
📢 Facts of the Case
The Carbolic Smoke Ball Company sold a product called the Smoke Ball which claimed to prevent people from getting the flu.
The company advertised in newspapers:
“We promise to pay £100 to anyone who catches the flu after using our smoke ball as directed, 3 times daily for 2 weeks.”
They also said they had deposited £1,000 in the bank to show they were serious.
Mrs. Carlill used the smoke ball as instructed but still got the flu.
She asked for the £100 reward, but the company refused to pay.
She took the company to court.
📜 Legal Issue
Was the company's advertisement a binding contract?
Did Mrs. Carlill accept the offer?
Was there a valid contract between the two parties?
🧠 Arguments by the Company
The advertisement was just a marketing trick, not a real offer.
Mrs. Carlill never informed them that she accepted the offer.
There was no contractual agreement because no communication happened.
⚖️ Court’s Decision
The Court of Appeal ruled in favor of Mrs. Carlill.
📌 Key Legal Principles Explained
1. ✅ Unilateral Offer
The advertisement was a unilateral offer — a promise made to the world, which anyone could accept by doing the act (using the smoke ball).
No need to notify acceptance, just performing the act is enough.
2. 💵 Consideration
Mrs. Carlill used the smoke ball as directed — this was consideration (she did something in return for the reward).
3. 📑 Intention to Create Legal Relations
The company said they deposited £1,000 in the bank. This showed a serious intention to be legally bound.
4. 🤝 Acceptance by Conduct
In unilateral contracts, you accept the offer by doing the required action (using the product), not by saying anything.
🔚 Final Judgment
The court said:
Yes, the advertisement was a valid offer.
Yes, Mrs. Carlill accepted it by using the smoke ball as directed.
Yes, there was a contract, and she deserved the £100.
🧾 Legal Importance of the Case
This case is a leading authority on:
Unilateral contracts
Offer and acceptance
Legal intention in advertisements
Still studied in law schools around the world today.