DOCSLIB.ORG

Contract Law

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Contract Law CHAR_A01.QXD 14/9/07 10:02 Page i Contract Law CHAR_A01.QXD 14/9/07 10:02 Page ii CHAR_A01.QXD 14/9/07 10:02 Page iii Contract Law Fourth edition Mary Charman CHAR_A01.QXD 14/9/07 10:02 Page iv Published by Willan Publishing Culmcott House Mill Street, Uffculme Cullompton, Devon EX15 3AT, UK Tel: +44(0)1884 840337 Fax: +44(0)1884 840251 e-mail: [email protected] Website: www.willan.publishing.co.uk Published simultaneously in the USA and Canada by Willan Publishing c/o ISBS, 920 NE 58th Ave, Suite 300, Portland, Oregon 97213-3786, USA Tel: +001(0)503 287 3093 Fax: +001(0)503 280 8832 e-mail: [email protected] Website: www.isbs.com © Mary Charman, 2007 The right of Mary Charman to be identified as the author of this book has been asserted by her in accordance with the Copyright, Designs and Patents Act of 1988. All rights reserved; no part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise without the prior written permission of the Publishers or a licence permitting copying in the UK issued by the Copyright Licensing Agency Ltd, Saffron House, 6–10 Kirby Street, London EC1N 8TS. First edition published 2001 Second edition published 2002 Third edition published 2005 Fourth edition published 2007 ISBN 978-1-84392-358-9 paperback British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library Project managed by Deer Park Productions, Tavistock, Devon Typeset by Pantek Arts, Maidstone, Kent Printed and Bound by TJ International, Padstow, Cornwall CHAR_A01.QXD 14/9/07 10:02 Page v Contents Preface xi Table of Cases xiii Table of Statutes xix 1 Principles of the law of contract 1 Why do we need a law of contract? 1 Are all promises enforced by law? 2 The form of a contract 3 The basis of contract law 3 Part 1: The formation of a contract 5 2 Offer and acceptance 7 Offer 7 Offers and ‘non-offers’ 10 Termination of an offer 13 Acceptance 20 Certainty in a contract 31 Auction sales 32 Tenders 34 Contracts for the sale of land 35 Some non-standard situations 36 Distance trading 39 Electronic trading 40 Summary 41 Questions 44 3 Consideration 46 Executed and executory consideration 47 Consideration must be sufficient but need not be adequate 47 Consideration must not be vague 48 Consideration must move from the promisee 49 Past consideration 49 Forebearance to sue 51 Performance of an existing duty 52 Part-payment of a debt 56 CHAR_A01.QXD 14/9/07 10:02 Page vi vi Contract law The current state of the doctrine 63 Summary 64 Questions 65 4 Legal intent 67 Social and domestic arrangements 67 Commercial agreements 71 Summary 74 Questions 75 5 Capacity 77 Corporations 78 Mental disability and intoxication 78 Diplomats and sovereigns 79 Minors 80 General concerns 89 Summary 89 Questions 91 Part 2: The contents of a contract 93 6 Incorporation of terms 95 Terms and representations 95 Incorporating terms into oral contracts 97 Written contracts 101 Implied terms 102 Collateral contracts 106 Summary 106 Questions 108 7 Types of terms within a contract 109 Conditions and warranties 109 The effect of a breach 110 Condition or warranty? 110 Terms specified by the parties 111 Reference to statute 112 Consideration of the terms by the courts 112 ‘Course of dealing’ 113 Innominate terms – the Hong Kong Fir approach 113 The debate continues 115 Summary 117 Questions 118 8 Exemption clauses 119 Incorporation 120 CHAR_A01.QXD 14/9/07 10:02 Page vii Contents vii Construction 121 Legislation 122 The Unfair Contract Terms Act 1977 122 The Unfair Terms in Consumer Contract Regulations 1999 126 The current position 128 Summary 129 Questions 131 9 Privity of contract 132 The rule of privity 132 Established exceptions to the doctrine of privity of contract 136 Attempts to avoid privity of contract 138 The Contracts (Rights of Third Parties) Act 1999 141 Summary 144 Questions 145 Part 3: Vitiating factors 147 10 Duress and undue influence 149 Duress 149 Undue influence 154 Summary 162 Questions 164 11 Misrepresentation 166 Representations and terms 166 Definition 166 Silence and misrepresentation 170 Misrepresentation passed on via a third party 174 Inducement 174 Remedies 174 Fraudulent misrepresentation 175 Non-fraudulent misrepresentation 176 The Misrepresentation Act 1967 177 Indemnity 178 Rescission 179 Bars to rescission 179 Comparison with remedies for breach of contract 181 Summary 181 Questions 183 12 Mistake 185 Common mistake 185 Where the subject matter is non-existent 186 Mistake over title 187 CHAR_A01.QXD 14/9/07 10:02 Page viii viii Contract law Mistake over quality of subject matter 188 Mutual mistake 190 Unilateral mistake 191 Mistake relating to documents 195 The doctrine of mistake in general 196 Summary 197 Questions 198 13 Illegality 200 The nature of illegality 200 Restraint of trade 201 The effect of European law 205 Summary 206 Questions 207 Part 4: Discharge and remedies 209 14 Discharge of a contract 211 Performance 211 Agreement 214 Breach 215 Frustration 216 Summary 222 Questions 223 15 Remedies 225 Damages 225 Basis of assessment 226 Mental distress and non-pecuniary loss 227 Remoteness of damage 228 Mitigation 229 Other remedies 229 Stop now orders 230 Summary 230 Questions 232 Part 5: Consumer protection 233 16 Consumer protection 235 The contract 236 The consumer 236 The Sale of Goods Act 1979 as amended by the Sale and Supply of Goods Act 1994 237 The Supply of Goods and Services Act 1982 243 CHAR_A01.QXD 14/9/07 10:02 Page ix Contents ix The Consumer Protection Act 1987 243 The Unfair Contract Terms Act 1977 245 The Unfair Terms in Consumer Contract Regulations 1999 247 Consumer protection other than through the law of contract 247 The current state of consumer protection 248 Summary 249 Questions 252 Part 6: General questions on contract law 253 17 Additional questions 254 Part 7: Studying contract law 259 18 Contract law in context 260 Fairness in contract law 261 Law and morals 262 Policy issues 263 Contextual skills in examination 264 Module 6: concepts of law, for AQA 264 19 Sources of contract law 265 Case law 265 Statute law 265 European law 266 OCR Special study: synoptic assessment based on legal sources 266 A strategy for using the material 279 20 Key skills 283 Key skills to be assessed 283 Answers guide 290 Legal terms and expressions 328 Legal resources 332 Index 335 CHAR_A01.QXD 14/9/07 10:02 Page x Table of Statutes Abortion Act 1967 263 s 13 238 Companies Act 1989 78 s 14(2) 238 Consumer Protection Act 1987 235, 243, s 14(3) 238, 241 248 s 15 112, 238 Contracts (Rights of Third Parties) Act s 57(2) 33 1999 49, 134, 141, 142 Supply of Goods and Services Act 1982 Courts and Legal Services Act 1990 249 ss 2–5 243 Family Law Reform Act 1969 80 ss 13–15 243 Human Fertilisation and Embryology Act Trade Descriptions Act 1968 11, 248 1990 263 Unfair Contract Terms Act 1977 102, 122, Law of Property Act 1925 35, 43, 136, 141 128, 239, 246 Law Reform (Contributory Negligence) Unfair Contract Terms Act 1977 s 1(3) 122 Act 1945 227 Unfair Contract Terms Act 1977 ss 2(1), Law Reform (Frustrated Contracts) Act 2(2) and 3 123, 246 1943 220, 221 Unfair Contract Terms Act 1977 s 6(1) 239 Married Women’s Property Act 1882 136 Unfair Contract Terms Act 1977 ss 6(2) Mental Capacity Act 2005 79 and 6(3) 239 Minors’ Contracts Act 1987 87, 88 Unfair Contract Terms Act 1977 s 12 123 s 2 87 Unsolicited Goods and Services Act (1971) s 3 88 25 Misrepresentation Act 1967 176–180, 227, 262, 266 Statutory instruments s 2(1) 177 Consumer Protection (Distance Selling) s 2(2) 180 Regulations 2000 25, 39 s 3 247 Stop Now Orders (EC) Regulations 2001 Restriction of Offensive Weapons Act 1959 10 230 Road Traffic Act 1988 136 Unfair Terms in Consumer Contract Sale and Supply of Goods Act 1994 235, Regulations 1999 3, 74, 126, 128, 247 237, 239, 240, 242, 243, 248 Unfair Terms in Consumer Contract s 1 239 Regulations 1999 Schedule 2 127, 246 s 14 240, 241 Unfair Terms in Consumer Contract Sale of Goods Act 1893 237, 242 Regulations 1999 Schedule 3 126 Sale of Goods Act 1979 3, 102, 103, 237, 238 European legislation s 2(1) 237 Electronic Commerce (EC Directive) s 3(3) 81, 90 Regulations 2002 40 s 6 186 European Directive on Unfair Terms in ss 12–15 107, 237, 238 Consumer Contracts (93/13) 126, 247 s 12, 238, 242 Treaty of Rome Article 85, 205 CHAR_A01.QXD 14/9/07 10:02 Page xi Table of Cases A to Z Bazaars v Minister of Agriculture Bannerman v White (1861) 10 CBNS 844 (1974) (4) SA 392 31 96 Adams v Lindsell (1818) 1 B & Ald 681 Barclays v O’Brien [1993] 4 All ER 417 159 28, 30 Barnett v Chelsea and Kensington Hospital Addis v Gramophone Co Ltd [1909] AC [1969] 1 QB 428 248 488 228 Barry v Davies (2000) Times 31/8/00 CA 34 Aerial Advertising Co v Batchelors Peas Barton (Alexander) v Armstrong [1975] 2 [1938] 2 All ER 788 116 All ER 465 150 Ahmed v Addy (2004) EWHC 1465 175 Barton v County NatWest [2002] All ER Ailsa Craig Fishing Co v Malvern Fishing (D)782 174 Co and Securicor [1983] 1 All ER 101 Basildon District Council v J E Lesser 128 (Properties) Ltd [1985] 1 All ER 20 227 Ajayi v Briscoe – See Emmanuel Ayodei Bank of Credit and Commerce International Ajayi v Briscoe (Nigeria) Ltd SA v Aboody [1990] 1 QB 923 159 Alan (WJ) & Co v El Nasr Export and Beale v Taylor [1967] 3 All ER 253 239 Import Co [1972] 2 All ER 127 62 Bell v Lever Bros [1932] AC 161 188 Allcard v Skinner (1887) 36 Ch D 145 155 Bernstein v Pamsons Motors [1987] 2 All Allied Dunbar v Weisinger
Load more

Recommended publications
  • Partridge V Crittenden [1968] 1 WLR 1204 - 04-25-2019 by Travis - Law Case Summaries
    Partridge v Crittenden [1968] 1 WLR 1204 - 04-25-2019 by Travis - Law Case Summaries - https://lawcasesummaries.com Partridge v Crittenden [1968] 1 WLR 1204 https://lawcasesummaries.com/knowledge-base/partridge-v-crittenden-1968-1-wlr-1204/ Facts On 13 April 1967, an advertisement by Arthur Partridge appeared in a periodical called "Cage and Aviary Birds". The advertisement stated: "Quality British A.B.C.R... Bramblefinch cocks, Bramblefinch hens 25 s. each." The advertisement made no mention of any "offer for sale". Partridge sold one of these birds to Thomas Thompson, who had sent a cheque to Partridge with the required purchase amount enclosed. Anthony Crittenden, a member of the RSPCA, charged Partridge for selling a live wild bird in violation of section 6 of the Protection of Birds Act 1954 (UK). The magistrate decided that the advertisement was an offer for sale and Partridge was convicted. Partridge appealed. Issues Did the advertisement constitute an offer for sale or merely an invitation to treat? Held The UK High Court held that the advertisement was an invitation to treat. The advertisement had appeared in the "Classified Advertisements" section of the periodical. It made no mention of being an "offer for sale". The Court considered Fisher v Bell, where a shopkeeper had advertised a prohibited weapon in his shop front window with a price tag. In that case, it was plain the placement of the weapon with a price tag constituted an offer for sale. However, in this situation, the advertisement was merely an invitation to treat, given its placement in the periodical.
    [Show full text]
  • Offer and Acceptance
    CHAPTER TWO Offer and Acceptance [2:01] In determining whether parties have reached an agreement, the courts have adopted an intellectual framework that analyses transactions in terms of offer and acceptance. For an agreement to have been formed, therefore, it is necessary to show that one party to the transaction has made an offer, which has been accepted by the other party: the offer and acceptance together make up an agreement. The person who makes the offer is known as the offeror; the person to whom the offer is made is known as the offeree. [2:02] It is important not to be taken in by the deceptive familiarity of the words “offer” and “acceptance”. While these are straightforward English words, in the contract context they have acquired additional layers of meaning. The essential elements of a valid offer are: (a) The terms of the offer must be clear, certain and complete; (b) The offer must be communicated to the other party; (c) The offer must be made by written or spoken words, or be inferred by the conduct of the parties; (d) The offer must be intended as such before a contract can arise. What is an offer? Clark gives this definition: “An offer may be defined as a clear and unambiguous statement of the terms upon which the offeror is willing to contract, should the person or persons to whom the offer is directed decide to accept.”1 An further definition arises in the case of Storer v Manchester City Council [1974] 2 All ER 824, the court stated that an offer “…empowers persons to whom it is addressed to create contract by their acceptance.” [2:03] The first point to be noted from Clark’s succinct definition is that an offer must be something that will be converted into a contract once accepted.
    [Show full text]
  • Important Concepts in Contract
    Munich Personal RePEc Archive Practical concepts in Contract Law Ehsan, zarrokh 14 August 2008 Online at https://mpra.ub.uni-muenchen.de/10077/ MPRA Paper No. 10077, posted 01 Jan 2009 09:21 UTC Practical concepts in Contract Law Author: EHSAN ZARROKH LL.M at university of Tehran E-mail: [email protected] TEL: 00989183395983 URL: http://www.zarrokh2007.20m.com Abstract A contract is a legally binding exchange of promises or agreement between parties that the law will enforce. Contract law is based on the Latin phrase pacta sunt servanda (literally, promises must be kept) [1]. Breach of a contract is recognised by the law and remedies can be provided. Almost everyone makes contracts everyday. Sometimes written contracts are required, e.g., when buying a house [2]. However the vast majority of contracts can be and are made orally, like buying a law text book, or a coffee at a shop. Contract law can be classified, as is habitual in civil law systems, as part of a general law of obligations (along with tort, unjust enrichment or restitution). Contractual formation Keywords: contract, important concepts, legal analyse, comparative. The Carbolic Smoke Ball offer, which bankrupted the Co. because it could not fulfill the terms it advertised In common law jurisdictions there are three key elements to the creation of a contract. These are offer and acceptance, consideration and an intention to create legal relations. In civil law systems the concept of consideration is not central. In addition, for some contracts formalities must be complied with under what is sometimes called a statute of frauds.
    [Show full text]
  • Burrows 4Th Edn.Indb
    Contents Contents Contents Acknowledgements vii Preface ix Table of Cases xxv Table of Legislation li PART ONE: THE FORMATION OF A CONTRACT 1. OFFER AND ACCEPTANCE 3 1. Introduction 3 (1) What is a Contract? 3 (2) Offer and Acceptance 4 2. Offers and Invitations to Treat 4 (1) Two General Illustrative Cases 5 Harvey v Facey 5 Gibson v Manchester City Council 5 (2) Display of Goods for Sale 7 Fisher v Bell 7 Pharmaceutical Society of Great Britain v Boots Cash Chemists (Southern) Ltd 8 (3) Advertisements 10 Partridge v Crittenden 10 Carlill v Carbolic Smoke Ball Company 11 (4) Auction Sales 15 Barry v Davies 15 (5) Tenders http://www.pbookshop.com 19 Spencer v Harding 19 Harvela Investments Ltd v Royal Trust Company of Canada (CI) Ltd 20 Blackpool and Fylde Aeroclub Ltd v Blackpool Borough Council 22 3. Acceptance 25 (1) Acceptance by Conduct 26 Brogden v Metropolitan Railway Co 26 (2) ‘Battle of the Forms’ 27 Butler Machine Tool Co Ltd v Ex-Cell-O Corporation (England) Ltd 27 (3) Communication of Acceptance 33 (a) The General Rule: Acceptance Must Be Received by Offeror 33 Entores Ltd v Miles Far East Corporation 33 Brinkibon Ltd v Stahag Stahl und Stahlwarenhandelsgesellschaft mbH 35 (b) Acceptance by Post 37 Household Fire and Carriage Accident Insurance Co Ltd v Grant 37 xii Contents Holwell Securities Ltd v Hughes 39 (c) Waiver by Offeror of the Need for Communication of Acceptance 41 Felthouse v Bindley 41 (4) Prescribed Mode of Acceptance 43 Manchester Diocesan Council for Education v Commercial and General Investments Ltd 43 (5) Acceptance in Ignorance of an Offer 45 R v Clarke 45 (6) Acceptance in Unilateral Contracts 47 Errington v Errington 47 Soulsbury v Soulsbury 48 4.
    [Show full text]
  • Invitation to Treat Cases Pdf
    Invitation to treat cases pdf Continue 2012/// Filed in: Treaty Law (UK)Below are the most relevant principles and leading cases concerning proposals against other steps in the negotiation process:Storer v Manchester City Council: The proposal is an expression of readiness to enter into a contract on certain terms after adoption. Gibson v Manchester City Council: Talks about entering into a contract of invitations for treatment, but does not offer Carlill v Carbolic Smoke Ball Co: Advertising for one-way contracts can make up proposals, even if addressed to the general public, if the advertisement objectively person making the advertisement intends to be linked by it. Partridge v Crittenden: Advertising in print for goods at a certain price is generally considered an invitation for treatment and are not offers. Fisher v Bell: Items with a price brand on shelves or on windows or in stores are generally considered invitations for treatment and are not offers. Pharmaceutical Society GB v Boots Cash Chemists: Self-service-based items are invitations for treatment, the customer makes an offer to buy at the box office. Walford v Miles: Negotiation agreements are invitations for treatment and are not a binding contract, instead they are considered as pre-contract negotiations. Harvela Investments Ltd v Royal Trust Co of Canada Ltd: As a rule, tenders are invitations for treatment unless clear language for acceptance of the proposal (e.g. Harvela). Blackpool Fylde Areo Club v Blackpool Borough Council: Invitations to tender include an implicit offer to consider all tenders properly submitted, but not necessarily accepting one.
    [Show full text]
  • Contract Law Update
    Contract Law Update Gerard McMeel & John Churchill, Guildhall Chambers 1. Whilst ‘frustration’, ‘rectification’, ‘Brexit’, ‘exclusion for misrepresentation’ and ‘breach of trust’ might sound like words and phrases plucked from columns in a variety of newspapers over the last year, they have also featured heavily in the law reports in three decisions that we will be focusing upon in this contract law review. This review of the previous year in contract will not exclusively focus on the decisions of the Supreme Court as in the previous couple of years at this seminar, but instead upon a trio of first instance and Court of Appeal cases, namely: (i) FSHC Group Holdings Ltd v GLAS Trust Corporation Limited [2019] EWCA Civ 1361; (ii) Canary Wharf (BP4) T1 Ltd c European Medicines Agency [2019] EWHC 335 (Ch); and (iii) First Tower Trustees v CDS (Superstores International) Ltd [2018] EWCA Civ 1396. (i) FSHC Group Holdings Ltd v GLAS Trust Corporation Limited [2019] EWCA Civ 1361 2. In this case, decided just before the summer recess, the Court of Appeal revisited, and in an emphatic judgment of Leggatt LJ, revised the previous approach by the courts to rectification for common mistake. As the sole judgment makes clear, the law had suffered from confusion since the obiter dicta remarks of Lord Hoffmann (delivering the unanimous decision of the House of Lords) in Chartbrook Ltd v Persimmon Homes Ltd [2009] UKHL 38. In that case the view was expressed that, as with the interpretation of contracts, the task of the court on cases of rectification for common mistake was in ascertaining the objective (and not subjective) intentions of the parties.
    [Show full text]
  • Contract Law
    Contract Law Formation of a Contract To start with it needs to be identified whether and which party is alleging a contract. For a contract to be valid it must be: 1.! An agreement 2.! Contractual intention 3.! Consideration Agreement An agreement is formed if there is a valid offer and an acceptance. There must be certainty in the offer and acceptance otherwise the court would not uphold the contract (Scammell v Ousten). →! Hillas v Arcas – the use of ‘timber of fair specification’ was not too vague to form a contract as the parties had dealt with each other before and were well acquainted with the timber industry Offer An offer is “an expression or willingness to contract on certain terms, made with the intention that it shall become binding as soon as it is accepted by the person to whom it is addressed” (Trietel 13th Ed; confirmed in Allied Marine Transport). This will be assessed objectively (Smith v Hughes) This is distinguished from an invitation to treat (ITT), which is where one party merely invites offers from another party and which he is then free to accept or reject. →! Carlill v Carbolic Smoke Ball – Was considered an offer not ITT even though it had aspects if an ITT. This was because the defendant had taken actions (depositing £1,000) to indicate that it took the promise seriously, thus it was an offer to anyone who satisfied the conditions, even if they didn’t communicate acceptance as it waived the requirement Case Law: →! Fisher v Bell – Generally speaking goods on display and advertisements in newspapers or periodicals that the advertiser has goods for sale are not offers 1 Contract Law →! Partridge v Crittenden – advertisements are generally an ITT →! Grainger v Gough – Similarly catalogues or price lists are also ITT.
    [Show full text]
  • MISTAKE and FRUSTRATION
    6 – MISTAKE and FRUSTRATION Distinction between common mistake and frustration – where shared mistaken assumption false prior to contracting, CM; where false after contracting, frustration; CA in The Great Peace noted similarities.” Mistake ‘Mistake’ in contract law is a misunderstanding/erroneous belief as to present fact. It is not taking the risk that one might be mistaken (eg. Leslie v Farrar Construction Ltd (2016)). Mistakes can be unilateral or common. Mistakes can be as to terms (what is being agreed), identity (who the other party is) or other matters (facts/circumstances influencing decision to contract). In civil systems, mistake is “the greatest defect that can occur”, a fatal flaw in consent (Pothier (1761)); however, in English law if the other party makes no representation or warranty to the contrary, mistaken party can’t recover – justified by need to observe contract made (terms could have protected party from it being false) (Atkin, Bell v Lever Bros). Unilateral Mistake: Terms and Quality Where one party makes a mistake about the terms of the contract, if the other party knew or ought to have known of the mistake, no contract has been formed on ordinary objective principles. - Hartog v Colin & Shields (1939) (negotiated price/skin, but final offer price/pound – change inexplicable, buyer could not reasonably have believed this was actual intention) Cannot reasonably rely on outward assent when the underlying mistake is or ought to have been known, or was the relying party’s responsibility. This is objectively assessed (when mistake actually was known, falls within ‘ought to have known’ category so is still objective).
    [Show full text]
  • Basic Principles of English Contract Law
    ADVOCATES FOR INTERNATIONAL DEVELOPMENT AT A GLANCE GUIDE TO BASIC PRINCIPLES OF ENGLISH CONTRACT LAW Prepared by lawyers from www.a4id.org TABLE OF CONTENTS I FORMATION OF A CONTRACT A. OFFER B. ACCEPTANCE C. CONSIDERATION D. CONTRACTUAL INTENTION E. FORM II CONTENTS OF A CONTRACT A. EXPRESS TERMS B. IMPLIED TERMS III THE END OF A CONTRACT – EXPIRATION, TERMINATION, VITIATION, FRUSTRATION A EXPIRATION B TERMINATION C VITIATION D FRUSTRATION VI DAMAGES / REMEDIES BASIC PRINCIPLES OF ENGLISH CONTRACT LAW INTRODUCTION This Guide is arranged in the following parts: I Formation of a Contract II Contents of a Contract III The end of a Contract I FORMATION OF A CONTRACT 1. A contract is an agreement giving rise to obligations which are enforced or recognised by law. 2. In common law, there are 3 basic essentials to the creation of a contract: (i) agreement; (ii) contractual intention; and (iii) consideration. 3. The first requisite of a contract is that the parties should have reached agreement. Generally speaking, an agreement is reached when one party makes an offer, which is accepted by another party. In deciding whether the parties have reached agreement, the courts will apply an objective test. A. OFFER 4. An offer is an expression of willingness to contract on specified terms, made with the intention that it is to be binding once accepted by the person to whom it is addressed.1 There must be an objective manifestation of intent by the offeror to be bound by the offer if accepted by the other party. Therefore, the offeror will be bound if his words or conduct are such as to induce a reasonable third party observer to believe that he intends to be bound, even if in fact he has no such intention.
    [Show full text]
  • De Montfort Law School Schools and Colleges Mooting Competition 2016
    De Montfort Law School Schools and Colleges Mooting Competition 2016 Vm/lawclub/mootinghandbook12 1 vm/lawclub/mootinghandbook12 2 CONTENTS Introduction 2 Programme 3 Mooting Instructions 4 Contract books and looking up cases 7 Round One Moot 9 Round Two Moot 10 Moot Final 11 Background Notes on Formation of Contract 12 vm/lawclub/mootinghandbook12 3 INTRODUCTION Welcome! The De Montfort Schools and Colleges Mooting Competition is now in its thirteenth year. We hope you find participating in moots an enjoyable and rewarding experience. If you do go on to study law at university, we trust that you will have found it useful to have had a first shot at it before starting on your degree course. Most university law schools run student mooting competitions and also enter teams for national competitions. All the moots in our competition are designed for students who have not studied A-level law. We have included a set of background notes on the law of contract formation (offer and acceptance). Traditionally a contract is formed when an offer has been accepted. All the moots depend on arguing whether a valid offer has (or has not) been made and whether acceptance has (or has not) taken place. If you need to contact the Law School the telephone number is 257 7177 and you can e-mail on [email protected] Andy Robinson Law Club Organiser vm/lawclub/mootinghandbook12 4 PROGRAMME Tuesday 19 January 2016 Andy Robinson will explain how the mooting competition is organised, followed by a demonstration moot by two De Montfort University students.
    [Show full text]
  • Introduction Offer
    INTRODUCTION A contract may be defined as an agreement between two or more parties that is intended to be legally binding. The first requisite of any contract is an agreement (consisting of an offer and acceptance). At least two parties are required; one of them, the offeror, makes an offer which the other, the offeree, accepts. OFFER An offer is an expression of willingness to contract made with the intention that it shall become binding on the offeror as soon as it is accepted by the offeree. A genuine offer is different from what is known as an "invitation to treat", ie where a party is merely inviting offers, which he is then free to accept or reject. The following are examples of invitations to treat: 1. AUCTIONS In an auction, the auctioneer's call for bids is an invitation to treat, a request for offers. The bids made by persons at the auction are offers, which the auctioneer can accept or reject as he chooses. Similarly, the bidder may retract his bid before it is accepted. See: Payne v Cave (1789) 3 Term Rep 148 2. DISPLAY OF GOODS The display of goods with a price ticket attached in a shop window or on a supermarket shelf is not an offer to sell but an invitation for customers to make an offer to buy. See: Fisher v Bell [1960] 3 All ER 731 P.S.G.B. v Boots Chemists [1953] 1 All ER 482. 3. ADVERTISEMENTS Advertisements of goods for sale are normally interpreted as invitations to treat.
    [Show full text]
  • Question Guides
    Davies: JC Smith's The Law of Contract 2e QUESTION GUIDES These guides are only that: guides. They are suggestions as to how you might approach the questions found at the end of each chapter in the book. There are also some student essays which I have corrected (more will be added as more students write answers!). There is no “model” answer; no two First Class answers look alike. You should try to develop your own writing style and be confident in your approach. This may well involve experimenting and making the most of the opportunity of feedback from your tutors. One crucial thing to remember, which sounds very obvious but is often forgotten or ignored in an exam, is that you must answer the question set. Not the question you hoped would come up. Or the question to which you have already prepared an answer. Or the question from last year’s exam which looks a bit similar... The examiner has asked a particular question for a reason, and part of what is being assessed is your ability to read the question, understand the question, and then answer that question. Another common and general weakness in student scripts is a lack of authority. It is important to show your ability to engage in legal reasoning and to sustain an argument. But you also want to display your knowledge. In order to do this, I would suggest that you will generally need at least six authorities in your answer. These will often be six different cases, which should all be underlined (or italicised) to make it clear to the examiner upon what you are relying.
    [Show full text]