Civil and Tort Law Unit 4 Flashcards
An invitation to treat
Fisher v Bell [1961] 1 QB 394
Policeman and flick knife
is not a valid offer to accept
Elements of a Contract
Offer, acceptance (most important), consideration, and intention to create legal relations
No response means no acceptance!
Box 2 Felthouse v Bindley (1862) 11 CBNS 869
nephew, uncle, actioneer
Consideration “reciprocal arrangement”
Sufficient but not adequate
Past consideration is no consideration
Eastwood v Kenyon (1840) 11 Ad & El 438
Eastwood borrowed £140 to raised Sarah. Sarah’s husband promised to pay E. debt after marriage. K did not pay because:
Past consideration is no consideration
Payment of a lesser sum on the due date is no consideration
Pinnell’s Case [1602] 5 Co Rep 117a
That payment of a lesser sum on the day in satisfaction of a greater, cannot be any satisfaction of the whole, because it appears to the judges, that by no possibility a lesser sum can be satisfaction to the plaintiff for a greater sum.
(Lord Coke)
Pinnell’s case challenged
Foakes v Beer[1884] 9 App Cas 605
Foakes was in debt to Mrs beer. foakes paid part of the debt and Mrs Beer agreed to receive the rest through instalments. Foakes paid instalments but failed to pay accruing interest. Court upheld Pinnell’s case
• 2.4 Intention to create legal relations
Contract law is honoured and enforced when both parties intend to create a legal agreement.
Domestic and social agreements (Under Intention to create legal relations)
Balfour v Balfour [1919] 2 KB 571
sick wife claiming to pay £30 as promised.
Husband won the case. No intention of a bargain by law.
Intention to create legal relations
Commercial agreements.
Rose and Frank Co v JR Crompton and Bros Ltd [1925] AC 445
This arrangement is not entered into, nor is this memorandum written as a formal or legal agreement, and shall not be subject to legal jurisdiction in the Law Courts either of the United States or England, but it is only a definite expression and record of the purpose and intention of the three parties concerned, to which they each honourably pledge themselves with the fullest confidence – based on past business with each other – that it will be carried through by each of the three parties with mutual loyalty and friendly co-operation.
Notwithstanding that the House of Lords thought the clause ‘remarkable’, the five judges unanimously concluded that it had the effect. Accordingly, the agreement was binding in honour only and not enforceable in the courts.
Specific performance (Remedies for breach of contract)
Behnke v Bede Shipping Co Ltd [1927] 1 KB 649
Injuction -
prohibiting from doing certain acts that would breach contract, mandatory- compel a party to undo act that breached contract, Interm- temporary injunction to prevent a breach of contract that has not occurred.
Temporary injunction for breach of contract
Box 9 Araci v Fallon [2011] EWCA Civ 668
jockey
Consumer Law
caveat emptor,
meaning let the buyer beware. People entering into an agreement must do so cautiously.
Consumer Law
involving goods and services
Unfair Contract Terms Act 1977
Sale of Goods Act 1979
Supply of Goods (Implied Terms) Act 1979.