In the common law, on the other hand, if the offeree uses an appropriate means of communication, the acceptance is effective on dispatch unless the offeror stipulated the contrary in his offer.
In sum, the German and Anglo-American systems both try to achieve, and in a measure succeed in achieving, a fair balance between the offeror and the offeree.
(A revocation by the offeror, however, does not take effect until received by the offeree).
For this reason the legal system sees a need to provide the offeree with a secure point of departure for his decision, in order both to protect him and to facilitate commerce generally.
Upon receipt of an offer, the offeree frequently changes his position by, for example, refusing or ignoring other offers, neglecting to seek additional offers, or himself making propositions based on the offer made to him.
The common law, on the other hand, found this solution excluded by its doctrine of consideration; as the offeree does not give anything in exchange for the offer's irrevocability, consideration is lacking to support an obligation not to revoke.
The Takeover Panel has stated that these types of protections may "deter competing offerors from making an offer, thereby denying offeree company shareholders the possibility of deciding on the merits of a competing offer".
In a joint statement, the companies said: "In relation to the proposed transaction, no decision has yet been taken as to whether 888 would be an offeror or offeree company in respect of certain of the steps that may be taken in order to implement the proposed transaction".
In their joint statement the companies said: "In relation to the proposed transaction, no decision has yet been taken as to whether 888 would be an offeror or offeree company in respect of certain of the steps that may be taken in order to implement the proposed transaction".
Rule 2.6c of the Takeover Code states that "the Panel will normally consent to an extension of a deadline … at the request of the board of the offeree company and after taking into account all relevant factors, including: (i) the status of negotiations; and (ii) the anticipated timetable for their completion".
