[1893] 1 QB 256, Court of Appeal
Carlill v. Carbolic Smoke Ball Co.
Does an advertisement promising a reward constitute a binding offer that can be accepted through the performance of the desired action?
An advertisement can constitute a unilateral offer when it prescribes certain acts that, once performed, constitute acceptance of the offer and form a binding contract.
The court held that the advertisement in question constituted a binding unilateral offer which Mrs. Carlill had accepted by performing the conditions stated in the advertisement.
Carlill v. Carbolic Smoke Ball Co. is a foundational case in contract law that elucidates the conditions under which advertisements can create binding obligations. For law students, it illustrates important concepts such as unilateral contracts, the nature of offers and acceptances, and the significance of consideration even in the form of prescribed actions linked to promises made in advertisements.