Pharmaceutical Society of Great Britain v. Boots Cash Chemists Ltd. 1953 (Case Summary)

This case clarified and established an important principle in contract law regarding the difference between an “invitation to offer” and “offer” specifically in an arrangement of a self-service store. The case involves a violation of a rule. The court elaborated on whether the display of goods in a self-service store is an “offer” or “invitation to offer”.

Facts of Pharmaceutical Society of Great Britain v. Boots Cash Chemists Ltd.

1. Boots Cash Chemists implemented a self-service system in their stores, allowing customers to select items, including certain drugs listed in the Poisons List under the Pharmacy and Poisons Act 1933, from shelves and place them into shopping baskets.
2. Customers would then proceed to a cashier’s desk to pay for the selected items. A registered pharmacist supervised the transaction at the point of payment.
3. The Pharmaceutical Society of Great Britain contended that this practice violated Section 18(1) of the Pharmacy and Poisons Act 1933, which mandated that the sale of listed poisons be conducted under the supervision of a registered pharmacist.
4. The Boots Cash Chemist, the defendant contended that there was no sale until the customer comes at the cashier’s desk.

Issues framed

1. Whether the display of goods on shelves in a self-service store constitutes an “offer” or an “invitation to offer”?
2. At what point is the contract of sale formed in a self-service store? 

Subordinate Court Judgment

Queen’s Bench Division ruled in favor of Boots Cash Chemists Ltd. The court held that the display of goods on shelves constitutes an invitation to offer, not an offer. 

The Pharmaceutical Society of Great Britain appealed to the Court of Appeal. 

Judgment of Pharmaceutical Society of Great Britain v. Boots Cash Chemists Ltd.

The Court of Appeal referred to the principles of offer and acceptance under contract law, emphasizing that a contract is formed only when there is a clear acceptance of an offer.

The Court clarified an important principle in contract law, that the display of goods in a self-service store is not an offer rather it is an invitation to offer. The offer is made by the customer when he carries the product to the cashier. The sale in these kind of arrangements is complete when the offer by the customer is given acceptance at the cash counter where billing is proe occurs when the cashier processes the payment.

The Court held that the sale of pharmaceutical products was completed at the cashier’s desk, where a registered pharmacist supervised the transaction, the Court of Appeal ruled in favor of Boots Cash Chemists, holding that the display of goods in a self-service store is merely an invitation to offer. The contract of sale is formed at the point of payment, ensuring compliance with the Act.

Therefore, there was no violation of 18(1) of the Pharmacy and Poisons Act 1933 as the sale was done in supervision of a registered medical practitioner.