Facts:
The company offered by agreement a reward of 100 pound to anyone who contacted influenza after using their smoke ball in the specified manner.
Mrs. Carlil did use smoke ball in the specified manner, but was attacked by influenza.
She claimed the reward and the company declined her claim.
Issue:
The company contention was that they have not entered into any agreement with Mrs. Carlil, therefore no contractual obligation arises from the side of company to pay the reward to Mrs. Carlil.
Decision:
It was held that Mrs. Carlil could recover the reward as the advertisement made by the company will be considered as a general offer and intention to enter into agreement can be seen by the side of the company as the makers of the smoke ball additionally offered a 100£ reward to anyone who caught influenza using their product, guaranteeing this reward by stating in their advertisement, they had deposited 1000 pound as a show of their sincerity.