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Contract Law > Chapter 2- Agreement > Flashcards

Chapter 2- Agreement Flashcards

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1
Q

What is consensus Ad Idem

A

Meeting of the minds

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2
Q

Agreement definition under the court

A

Agreement is dealt with by an objective approach. The court decides if an agreement is valid by facts of the case

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3
Q

Butler Machine Tool Co c Excell O Corporation 1979

Gibson v Manchester City council 1979

Are examples of what?

A

Relaxed approaches of contracts. Courts look for FACTUAL INDICATORS of offers and acceptance

Gibson v Manchester City counsel said ‘may sell house’

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4
Q

Was RTS flexible systems ltd v Molkrnr Alois Miller GMBH valid contract?

A

It was not valid on state of mind but was valid in words and conduct communicated between the parties

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5
Q

Name 2 case examples which show no agreement found due to lack of legal intent

A

Maxine’s c Gross 2017
Jas Financial produce LLP v ICAP pls 2016
Blue v Ashley 2017
Wright v Rowland 2017

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6
Q

What’s an offeror and Offeree

A

Party Offering is offeror

Party receiving offer is the offeree

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7
Q

DEF OF OFFER-

A

An offer is an expression of willingness to contact on certain terms on which the offeror is prepared to be legally bound following acceptance

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8
Q

Nicolene Ltd v Simmonds 1953

A

Court of appeal ignited statement from the defendant that “usual conditions of acceptance apply”.

Court deemed there are no “usual conditionals of acceptance”

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9
Q

Scammer and Nephew Ltd v Ouston 1941

A

Court determined a van acquired for hire purchase terms was to vague. Contract was voided.

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10
Q

Name what occurs if minor or major sections of contract are deemed inaccurate/ uncertain/ incorrect

A

Minor - strike out that section of the contract to not be replied upon

Major - void entire contract

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11
Q

Give example of familiar terms used in case law to support an agreement

A

Hillas ltd v Avcos ltd 1932

Though terms of contract to sell wood were vague. Court ruled due to previous history between seller and buyer the contract was valid.

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12
Q

Baird Textile Holdings Ltd v Marks and Spencer’s Plc 2001

A

Court deemed contract to be void as it was not able to establish what was reasonable on quantity or price

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13
Q

Unilateral offer definitions

A

If contact

If you do something I promise to do something in return

REWARD POSTER

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14
Q

Bilateral Contract definition

A

Both parties have an obligation to the contract

Change in trade for money

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15
Q

Name 3 ways to make an offer

A

Orally
Writing
By conduct

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16
Q

Which case law supports offeree must have knowledge of the offers communicated to them?

A

Taylor v Laird 1856

Ship captain quit his John but continued to work on the ship. The employer was not obliged to pay him as they were aware of the possible new contract between the captain and the employer

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17
Q

Carill v Carbolic Smoke ball Co Ltd 1893

A

UNILATERAL OFFER - claimant caught influenza as pet worldwide offer from the defendant. Defendant didn’t pay the claimant reward of £100 as she caught the flu from taking the Defendant medicine

Court deemed this to be an offer to the whole world from defendant not a contract

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18
Q

Definition Invitation to treat

A

An invitation for someone to make an offer

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19
Q

When can an invitation to treat become an contract

A

When it is followed up with an offer which is accepted

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20
Q

Where can invitations to treat be used

A 
Advertisements 
Auctions
Requests for tender (money)
Displayed of goods for sale
Statement of the price
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21
Q

Partridge v Crittenden

A

Offer to sell a bird is seen as as invitation to treat.

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22
Q

Was Carill v Carbolic Smoke ball Co Ltd 1893 an invitation to treat?

A

No as a promise was made this was deemed as a definite offer

23
Q

Give an example of seller discretion

A

Tesco released sale of iPad for £50

Offer was not honoured as it was a mistake and withdrawn under seller discretion

24
Q

When is an auction deemed as an offer but not an invitation to treat?

A

When product has a reserve price

Offer to sell ‘Warlow v Harrison 1859’

25
Q

Harvela investments ltd v Royal trusts co of Canada 1986

A

Invitation of tender was deemed an offer as advert said tender would be accepted from the highest bidder.

26
Q

What case law contradicts Harvela investments ltd v Royal trusts co of Canada 1986

A

Spencer v Harding 1870 was deemed an invitation to treat as no offer was involved in advertisement

27
Q

What is the display of goods for sale deemed as

A

An invitation to treat

28
Q

When is an offer deemed to be ended

A

If it is withdrawn from offeror
Remained open for too long
Offer is accepted
Offer is given a counter offer

29
Q

Payne v cave 1789 for revocation

A

Offer is considered revoked when is received by offeree, not ‘sent’ by offeror

30
Q

Byrne v Tan Tienhoven 1880

A

Revocation was not received by the claimant prior to the acceptance though defendant sent the telegram prior to the acceptance

31
Q

Dickinson v Dodd 1876

A

Third party told the claimant that the house was telling. The Defendant sold the house prior to the claimants acceptance letter. The court deemed the contract revoked due to the claimant receiving Third party information about the house sell

32
Q

Errington v errington 1952

A

Unilateral offers cannot be revoked. Case where father promised to transfer ownership of the house once instalments were paid by the daughter. Daughter paid instalments, father tried to revoke offer. Court deemed contract terms met and therefore offer could not be revoked

33
Q

Shvey v United States 1875

A

An offer can only be considered revoked once reasonable steps have been proven to have been taken to revoke the offer

34
Q

Hyde v Wrench 1840

A 
Example of counter offer
Farm offeror £1000
Offeree countered £950
Offeror £1000 
Offeree rejected 
Offeror said will take £950
Offeree rejected

Offeror tried to take Offeree to court for rejection. Court deemed counter offer an initial rejection of £950 therefore no valid contract

35
Q

Butler v machine tool co v excell-o corporation England ltd 1979

A

Last party to send it’s terms “wins” as each redraft constitutes as a new offer which cancels out former offer

36
Q

Pickfords v celestica 2003

A

Offeror makes one offer, then makes a second offer straight after which is considerably different to the first then the 1st offer is deemed revoked

37
Q

Stevenson Jacques v Co McClean 1880

A

Query of an offer is not a counter offer

Offeree made query on offeror offer. Offeror deemed it as a counter and sold to another third party. Court deemed contract with Offeree valid as it was only a query on the offer not a counter

38
Q

Ramsgate Victoria hotel v montefore 1866

A

Lapses offer!!!

Too much time passed between offer and acceptance

39
Q

Name 3 ways to accept an offer

A

Verbal, written, by conduct

40
Q

When an acceptance mirrors and offer what is this referred to,

A

Mirror image rule

41
Q

Acceptance subject to contract

A

This allows the parties to confirm the validity of the contract prior to accepting

42
Q

Felthouse v bindley 1862

A

Uncle tried to sue an auction house for selling a horse as he said to horse owner (his nephew) ‘if I don’t hear from you I consider my offer accepted’

Court decided it was not effective communication of acceptance

43
Q

Yates building co ltd v RJ pulleyn and sons york ltd 1975

A

Offer acceptance can be specified in offer.

E.g “this offer can only be accepted in writing”

44
Q

Which case states offer can be accepted only by a person authorised to accept it

A

Powell v lee 1908

45
Q

Pickfords v celestica 2003

A

Work was carried out in line with contract. Court deemed offer accepted by conduct

46
Q

3 examples by conduct

A

Avcadis consulting UK v AMEC BSC ltd 2016

Novus Aviation v Alubaf Arab International Bank BSC 2016

Reveille independent LLC v Anotech International UK Ltd 2016

47
Q

Carill v CAMBOLIC smoke ball

A

Unilateral offer acceptance

Claimant performed the use of the product as suggested. Though she didn’t formally accept the offer she did perform the act the company required

48
Q

What is the postal rule

A

If a offeror withdraws offer post acceptance by the Offeree by post but does not receive the offerees acceptance before withdrawal then the offer is still deemed accepted

Even if offer is delayed or never reached offeror. Offeree must prove acceptance prior to withdrawal of offer

49
Q

Howells securities v Hughes

A

Hughes didn’t receive notification to buy his property from Howells security. Court deemed no valid contract as Hughes should have been notified for definite of offer to buy property

50
Q

When does the postal rule not apply

A

When it leads to manifest inconvenience and absurdity

51
Q

Byrne v Van Tienhoven and Dunmore v Alexander 1830

A

Offer acceptance sent by post. Then decided to withdraw offer face to face prior to acceptance letter received. court deemed this valid

52
Q

Brinkbon Ltd v Stahag Stahl Und Stahlwarehandelr (Brickbon case)

A

Email acceptance is deemed a contract soon as it is delivered

53
Q

Electronic Commerce (EC directive) regulations 2002

What is regulation 2?

A

The contract is formed when the customer is able to access the acknowledgement of receipt sent from the supplier or seller

Contract Law (6 decks)

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