CASE LAW- Contract Flashcards
NATURE OF CONTRACT : Unilateral contracts
Carlil v The Carbolic smoke ball co. Ltd.
- a company would reward 100 pounds to whomever contracted the influenza virus 2 weeks after taking their smoke ball.
- Mrs. Carlil took the smoke ball and contracted the virus a year later, but the court conlucded for such a reward of money, the exact terms of the offer had to have been met
OFFER & ACCEPTANCE: an offer
Harvey v Facey
- The seller merely made a statement of price but this was not an offer.
OFFER & ACCEPTANCE: Display of goods
Fisher v Bell
- a flick knife was displayed and was not guilty of offering it for sale illegally. The display was simply an invitation to treat
OFFER & ACCEPTANCE:
Counter offer
Hyde v Wrench
- The buyer proposed a new price for the farm he was buying
OFFER & ACCEPTANCE:
Request for more information
Stevenson v McLean
- This was simply a request for more info and it did not amount to a rejection, acceptance or counter offer.
OFFER & ACCEPTANCE:
A performing offer
Errington v Errington and wood
- even after the father died, the couple continued to pay the mortgage and could not be withdrawn
OFFER & ACCEPTANCE:
Acceptance by post (Postal rule)
Adams v Lindsell
- Once the post had been made, acceptance was effective and so there was a breach
OFFER & ACCEPTANCE: Emails (postal rule )
Thomas v BPE Solicitors
- The court concluded that the postal rule cannot apply to emails as it is unclear as to whether email acceptance is effective once sent or marked read.
INTENTION TO CREATE LEGAL RELATION:
Commercial agreements
Esso Petroleum co. ltd v Commissioners of customs and excise
- The major decision by the HOL said that as esso was clearly trying to gain business from a promotion, there was an intention to be bound y the agreement
INTENTION TO CREATE LEGAL RELATION:
Husband and wife agreement
Balfour v Balfour
- The claim to claim allowance money failed as the agreement had been reached during an amicable point in their relationship. Love and affection does not amount to a valid consideration
INTENTION TO CREATE LEGAL RELATION:
Husband and wife agreement (rebuttal)
Merritt v Merritt
- There was an intention to create a legally binding agreement as the agreement was a condition to their separation
INTENTION TO CREATE LEGAL RELATION:
Child and Parent
Jones v Padavatton
- The agreement with regard to a house was so ambiguous as to be incapable of being a contract
INTENTION TO CREATE LEGAL RELATION:
Other social agreements
Wilson v burnett
- there was no formal agreement to show that they had agreed to share the winnings
CONSIDERATION:
Past consideration
Re McArdle
- it was held that the repairs to an inherited house were past consideration and not payable
CONSIDERATION:
Move from the promisee
Tweddle v Atkinson
- The husband was not a party to the contract held between his wife and the wife;s father
CONSIDERATION:
Performance of existing public duty
Collins v Godefroy
- There was no consideration for a policeman to attend court and therefore there was no contract formed
CONSIDERATION:
Part payment is not a valid consideration
D&C building ltd v Rees
- the builders did not pay the full amount and so the workers ended up facing financial challenges. This part payment was a breach to the contract
CONSIDERATION:
promissory estoppel
(Commercial)
Central London Property Trust Ltd v High tree house Ltd
- The court estopped the claimants from going back on their promise for claiming the full price