4. Principles of Contract Law

Question 1

What is the Civil Code of Quebec?

Answer 1

The Civil Code of Québec is a fundamental legal document in the province of Quebec. It consists of a body of rules that govern individuals, the relationship between them, and property.

Question 2

What is a contract?

Answer 2

A contract is an agreement of wills by which one or several persons obligate themselves to one or several other persons to perform a prestation.
- Art. 1378 CCQ Al. 1

Question 3

What is a prestation?

Answer 3

A prestation is all of these:
- a payment or a performance;
- the rendering of a service; and
- doing or not doing something.

Question 4

Name the types of contracts.

Answer 4

Contracts may be divided into contracts of [adhesion] and contracts by [mutual agreement], [synallagmatic] and [unilateral] contracts, [onerous] and [gratuitous] contracts, [commutative] and [aleatory] contracts, and contracts of [instantaneous performance] or of [successive performance]; they may also be [consumer contracts].
- Art. 1378 CCQ Al. 2

Question 5

How is a contract formed?

Answer 5

A contract is formed by the sole exchange of consents between persons having capacity to contract, unless, in addition, the law requires a particular form to be respected as a necessary condition of its formation, or unless the parties subject the formation of the contract to a solemn form.

It is also of the essence of a contract that it have a cause and an object.

				- Art. 1385 CCQ

Question 6

What are the characteristics of contract formation?

Answer 6

• exchange of consent
• offer
• acceptance
• capacity
• cause
• object
• form

Question 7

What are the two forms of an ‘exchange of consent’?

Answer 7

The exchange of consent can be Express or Tacit.

Question 8

Discuss the implications of an ‘offer’

Answer 8

• If No Term–offer ends in a reasonable time
• With Term – offer expires on the date set
• Death, bankruptcy or protective supervision occurs before acceptance is received, causes offer to lapse

Question 9

What does ‘acceptance’ mean in contract formation?

Answer 9

• Contract is formed upon acceptance
• If acceptance doesn’t equal offer then it’s a counter-offer or a new offer
• Silence not equal to acceptance

Question 10

Discuss ‘capacity’ when forming a contract.

Answer 10

Minors:
- 14yrs+ can contract for employment or work
- All minors can contract for usual needs
- Tutors for rest

Adults:
- Inapt adults can’t contract
- Three forms of protective supervision:
1. Permanent (Curator)
2. Temporary (Tutor)
3. Assistance (Advisor)

Other elements of contract formation: cause (arts. 1410 and 1411 CCQ), object (arts. 1412 and 1413 CCQ), form (art. 1414 CCQ)

Question 11

What are the conditions of ‘consent’?

Answer 11

Consent must be free and enlightened.
- Art. 1399 Al. 1

Question 12

What are the defects of consent?

Answer 12

The following are defects of consent:
1) Error (art. 1400 CCQ)
2) Fraud (art. 1401 CCQ)
3) Fear (arts. 1402 and 1403)
4) Lesion (arts. 1405 and 1406)