CERTAINTY AND COMPLETENESS Flashcards
Certainty overall definition and 2 cases to support this?
Even when there is a valid contract; it may fail for a lack of certainty.
LOFTUS V ROBERTS=
Actress sued theatre director, terms said ‘i engage you to play the part of X at a west end salary to be mutually arranged between us’ - the court said this was uncertain. ‘salary’ is broad and problematic; not a valid contract as it had not been ‘mutually arranged’.
HILLAS V ARGOS =
Hillas agreed to buy 22 thousand standards of soft wood - written agreement with option to buy 100,000 a year later, didn’t specify what kind of timber or how it was to be delivered. Hillas chose to do this as the first purchase went well. Court said sufficient intention to be bound as they already did business - capable of referring to what they did last time, therefore it was certain and the contract was valid.
“the intention is to be found in the words used” (Lord Wright) BUT…..? (3 cases)
SCHWEPPE V HARPER=
The final amount had not bee agreed; the rate of interest remained unsettled, as was the length of time that money would be lent for; no contract.
BLUE V ASHLEY =
Banter in a pub; would pay 15 billion pound; court found terms were not certain or clear, no time set arranged or framework as to what blue had to do for him to complete contract - uncertain.
NICOLENE V SIMMONDS =
“usual terms and conditions apply” - were no usual terms in this case, the whole phrase was meaningless.
INCOMPLETE AGREEMENTS? (2 CASES)
COURTNEY & FAIRBURN LTD V TOLANI BROS =
Mr courtney argued there was a binding contractual promise that he’d be the builder - no promise. the law does not recognise a contract to negotiate; so no promise. If there are still negotiations to be made, the contract is incomplete.
FOLEY V CLASSIQUE COACHES =
The court found the parties were bound - because they had traded previously.
