Contract Law

Question 1

What are the sources in Civil Law

Answer 1

Jurisdiction (main source)

Question 2

What are sources in Common Law

Answer 2

Case law (main source)

Question 3

Sources of contract law

Answer 3

• National rules
• European rules
• suprational rules
• soft law –> inspiration

Question 4

Requirements for a contract

Answer 4

• Offer
• Acceptance
• Intention to be bound
• Consideration

Question 5

What are gratuitos contracts?

Answer 5

Promise to make a gift

Question 6

Freedom of contract

Answer 6

Parties are free to decide whether they want to contract at all and with whom and they can also determine the contents of their contract

Question 7

Default rules

Answer 7

The law provides default rules if contract matters aren’t covered by general conditions and the parties haven’t made other adreements

Question 8

Mandatory rules

Answer 8

If parties contract in a way that is considered contrary to law or morality the law must intervene and declare such a contract void or avoidable for one party

Question 9

Revocation

Answer 9

If the offeror goes back on its offer before it’s accepted by the offeree

Question 10

When is contract concluded?

Answer 10

When the acceptance of the offer reaches the offeror

Question 11

Interpretation of a contract civil law

Answer 11

If aspects of a contract aren’t clear, the contract will be interpreted in the way a reasonable person would understand it

Question 12

Interpretation of a contract common law

Answer 12

The objective meaning of the words of the contract gives the preference

Question 13

Laesio enormis (Common law)

Answer 13

If a party didn’t know the true value of the good, it’s allowed to ask for the good back

Question 14

Procedural unfairness

Answer 14

If a party is prevented from exercising its own free will

Question 15

Substantive unfairness

Answer 15

Imbalance in the parties rights and obligations

Question 16

Nonperformance

Answer 16

• not performing at all
• performing to late
• performing in the wrong way

Question 17

Perfomance civil law

Answer 17

Claim to performance

Question 18

Exception of claim to performance civil law

Answer 18

Objective impossibility e.g the good was stolen or it would const the debtor unreasonable effort or expense or the performance would be only useful before a fixed date

Question 19

Performance Common Law

Answer 19

Claim for Damages

Question 20

Remedies for non performance Civil law

Answer 20

A claim for damages is only possible if the party in breach was at fault or can be held responsible for the nonperformance

Question 21

Remedies for non performance Common Law

Answer 21

It doesn’t matter whether the party was at fault or not, the fact of non performance gives the right to claim for damages

Exception: If performance becomes impossible through no fault of their own

Question 22

Termination of nonperformance

Answer 22

Only in respect of breaches that are sufficiently serious