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tdlawyer, Lawyer
Category: Law
Satisfied Customers: 1096
Experience:  11 years experience of general practice.
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I am a regulated claim manager and have received an offer from

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I am a regulated claim manager and have received an offer from a defendant of £16,000 in open correspondence. This represents about 1/4 of my client's loss. My client has the option of referring the matter to the Financial Ombudsman but I feel that he will lose which risks the £16,000. My client has asked me to revert to the defendant and suggest a full and final settlement at £32,000 which they may or may not agree to. My concern is this. At present we have an offer, we can accept, which becomes a contract. If we don;t accept but revert with a counter-offer i.e. give us 32K what would be the position with the original offer of 16K if they tell us to get lost? Could we bind them at the original offer of 16K or would the fact that we had reverted to them with a counter offer void the original?
Hi thanks for your question.

If you go back with a counter-offer, it will destroy the original offer and that will not then be capable of acceptance.

However, you could go back in a slightly different way. If you said, for example:

"My client would like to know whether a deal could be done at £xx,xxx, which is then likely to make this whole thing go away."

This would be different, as it's not an offer, it's an enquiry as to whether, if made, an offer in such terms would be accepted. There are a lot of cases on this type of thing, (e.g. Harvey -v- Facey = which says you can make an enquiry without destroying the original offer.

Hope this helps.

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