Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Contract Law > Formation > Flashcards

Formation Flashcards

You may prefer our related Brainscape-certified flashcards:
Civil Procedure 1L flashcards MBE flashcards MPRE flashcards
1
Q

What is a Bilateral contract?

A

Promise by one party has been exchanged for another promise e.g business agreement

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What is a Unilateral contract?

A

One party promises to do something in return for an act from the other party e.g insurance

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What is an offer?

A

A statement of willingness to contract on the specified terms

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What are the two types of offer?

A

Invitation to treat
Invitations to tender

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

What is an Invitation to treat?

A

Merely inviting the other party to offers and the other party is free to accept/reject

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What are the two cases that can be applied to an Invitation to treat?

A

Pharmaceutical Society v Boots
Partridge v Critteneden

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

What does Pharmaceutical Society v Boots say about price tags?

A

A contract is formed when goods are brought to cash desk not the price tag

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

What is the case of Partridge v Crittenden?

A

Advertisement of cocks and hens at 25s each was invitation in treat not offer

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

What is meant by an Invitation to tender?

A

Can amount to an offer if that is the intention, generally is an ITTr

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

What is the general rule with auctions?

A

When the hammer falls the contract is made

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

What case relates to the display of goods?

A

Fisher v Bell

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

What is the case of Fisher v Bell?

A

Arrested for displaying flick knife in shop window can’t charge with offer to sale but with invitation to treat

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Is a statement of minimum price an offer?

A

No

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

What is the case Harvey v Facey?

A

Facey wrote lowest price acceptable to sell farm as £900 doesn’t mean you can accept at that price

statement of lowest price not offer
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

If an advertisement indicates a course of action in return for payment are they bound by the offer?

A

Yes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

What is the case of Carlill v Carbolic Smoke Ball Co?

A

Promised if use the smoke balls they’d give £100, her conduct showed her acceptance so can sue

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Does an offer need to be communicated to the offeree?

A

Yes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

What case relates to communicating the offer to the offeree?

A

Taylor v Laird

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

What is the case Taylor v Laird?

A

Taylor changed his position from captain to crew member on ship without telling employer so could not be paid crew pay

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

Does the offeree need to have knowledge of the offer?

A

Yes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

What case relates to having knowledge of the offer?

A

Inland Revenue v Fry

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

What is the case of Inland Revenue v Fry?

A

Someone sent cheque to clear debt, was cashed but they didn’t know it had been cashed so had the right to chase them for it

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

Can the terms of an offer be vague?

A

No they must be certain

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

What case relates to an offer being certain?

A

Gutting v Lynn

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

What is the case of Guthing v Lynn?

A

Promised to pay £5 more ‘if the horse is lucky’ to vague to enforce

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

Can you withdraw an offer at any point before it’s accepted?

A

Yes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
27
Q

What case is about when an offer was withdrawn before acceptance?

A

Routledge v Grant (consideration needed e.g deposit)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
28
Q

Does an offerer need to communicate a withdrawal?

A

Yes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
29
Q

What is the case of Byrne v Van Tienhoven?

A

Withdrawal letter arrived after acceptance letter sent so withdrawal invalid

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
30
Q

Can a third party communicate a withdrawal?

A

Yes if they are a reliable third party

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
31
Q

What is the case of Dickinson v Dodds?

A

Berry an acquaintance they could rely on withdrew an offer

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
32
Q

Can a unilateral contract be withdrawn while the offeree is performing?

A

No

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
33
Q

What is the case of Errington v Errington & Woods?

A

Father promises house to son if mortgage payment paid off. Father died family want house remains with son if he pays mortgage.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
34
Q

Can an offer be terminated by acceptance refused?

A

Yes eg counter offer, withdrawal or time lapsed

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
35
Q

What is the case of Ramsgate Victoria Hotel v Montefiore?

A

Offered to buy shares in June, issued in November, held the offer to buy had lapsed

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
36
Q

Is a contract binding if both parties have not expressed acceptance?

A

No both parties need to express acceptance

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
37
Q

What is meant by acceptance being unconditional?

A

Must accept exact terms proposed no changes

38
Q

What case says introducing a new term is a counter offer?

A

Hyde v Wrench

39
Q

What happened in the case of Hyde v Wrench?

A

Offers to sell farm for £1000 counters with £950 declines and tries the original price but the counter rejects original

40
Q

What case says that requesting information is not a counter offer?

A

Stevenson v McLean

41
Q

What is the case of Stevenson v McLean?

A

Requested if delivery could be staggered not a counter offer

42
Q

Does acceptance need to be communicated?

A

Yes

43
Q

What case says that acceptance cannot be silence?

A

Felthouse v Bindley

44
Q

What is the case of Felthouse v Bindley?

A

‘If I hear no more the horse is mine for £30’ can’t prove horse his as didn’t accept

silence not acceptance
45
Q

Can performance be enough in a unilateral contract ?

A

A contract where acceptance does not need to be communicated as performance is sufficient Carbolic smoke balls

46
Q

If an offeror specifies a method of acceptance does it have to be abided by?

A

Yes

47
Q

What is the case of Yates v Pulleyn?

A

Option to purchase land had to be in writing in registered post / was sent in normal post

48
Q

What is the postal rule?

A

Acceptance by post is complete when the letter has been posted even if lost destroyed or delayed

49
Q

What is the case of Adam’s v Lindsell?

A

Post was delayed

50
Q

What is the case of Household Fire Insurance v Grant?

A

Posted but not received

51
Q

When does the postal rule not apply? (4)

A

Not posted properly
Not properly addressed
Postal rule is expressly excluded
If unreasonable to use post

52
Q

What is the rule when accepting with email?

A

Contract is accepted when received within office hours

53
Q

What is the case of Brinkbon v Stahag Stahl?

A

Telex recieved out of office hours

54
Q

What do the Electronic Commerce Regulations 2002 state?

A

Contract concluded by purchaser accepting e.g clicking on icon and receiving electronic receipt

55
Q

What is the case of Fitch?

A

Cannot claim the reward if does nothing have knowledge of the offer

56
Q

What are the three ways to terminate an offer?

A

Revocation
Lapse
Death

57
Q

What is meant by revocation of an offer?

A

Offer can revoked any time until it is accepted
Routledge v Grant

58
Q

In a unilateral contract can the offer be revoked if the person has already performed? (Case)

A

No Errington v Errington

59
Q

What is meant by an offer lapsing?

A

An offer will lapse after a certain time period that is reasonable depending on the circumstances

60
Q

What is the case of Ramsgate v Victoria Hotel?

A

Time lapse of 5 months

61
Q

When can an offeree still accept even if the offerer has died?

A

If it did not include a personal service from the person

62
Q

What is consideration?

A

An act by one party in exchange for the promise of act from another

63
Q

Can consideration be in the past?

A

No

64
Q

What is the case of
Re McArdle?

A

Mother carried out work then the contract was signed

65
Q

Can consideration be from someone other than the promisee (case)?

A

No Tweddle v Atkinson

66
Q

Does consideration need to be adequate (market value)?

A

No but must be sufficient

67
Q

What is the POL from Chapel v Nestle?

A

Something must be given does not need to be equal

68
Q

What is the case of Ward v Byham?

A

Father promised mother money if she kept the child well looked after and happy no obligation in law to keep child happy so good consideration

69
Q

What is meant by an existing duty?

A

If a person is already expected to perform an act then it is not consideration unless the go beyond that

70
Q

What is the case of Collins v Godfroy?

A

Performance of an existing duty is not consideration

71
Q

What is the case of Glasbrook Bros v Glamorgan?

A

Only if consideration exceeds existing duty then it is consideration

72
Q

What is the case of Stilk v Myrick?

A

Performance of an existing contractual duty is not enough 2 members of crew deserted no new consideration for remaining crew as only 2

73
Q

What is the case of Hartley v Ponsonby?

A

17 desert 19 remain more work so good consideration

74
Q

What is the point of law from Williams v Roffey?

A

Avoiding a detriment is good consideration

75
Q

What is the case of Pinnels?

A

Part payment of a debt is not good consideration for a promise to get rid of the remaining balance

76
Q

What are the two types of legal relations?

A

Domestic and social
Commercial and business

77
Q

What is the case of Balfour v Balfour?

A

Agreement of couple living together in house will not have intention

78
Q

What is the point of law from Merritt v Merritt?

A

Intention is presumed between parties who have separated

79
Q

What is the point of law from Simpkins v Pays?

A

If money exchanged then it’s usually legally binding

80
Q

Point of law from Parker v Clarke?

A

Giving up a house made agreement legally binding

81
Q

What is the case of Wilson?

A

Agreement to share lottery winnings between friends given intention

82
Q

What does the case of Rose v Frank say?

A

If the agreement falls between commercial and social the claimant must prove contractual intention

83
Q

What is the case of McGowan v Radio Buxton?

A

Prize of car turned to be toy car judge said intention to create L relations

84
Q

Is an offer of free gifts to promote a business legally binding and what case?

A

Yes Esso Petroleum v C&E

85
Q

Do ‘comfort letters’ rise to legal relations and what case?

A

No Kleinwort Benson v Malaysian Mining

86
Q

Can a third party to a contract sue on that contract?

A

Usually no

87
Q

What is the case of Dunlop v Selfridges?

A

Dunlop and Selfridges both bought tires with contracts stating they wouldn’t sell below a certain price. Selfridges discounted tires and Dunlops legal action failed as no contract.

88
Q

What act allows third parties to claim under a contract?

A

Contracts (Rights of Third Parties) Act 1999

89
Q

What allows a third party to claim in a contract?

A

If the contract contains an express term (name mentioned) or if terms benefit third party

90
Q

What is the case of Nishhin Shipping v Cleaves?

A

Clause for payment of a broker between charters and ship owners able to recover under act

91
Q

What does Jackson v Horizon Holidays state?

A

If a third party is a valid party to the contract he has access to all remedies

Contract Law (5 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions