Implied Terms

Question 1

What is an Implied Term?

Answer 1

A term implied into a contract through common law
- Business efficacy
- Custom/Prior Dealings
- Statute

Question 2

Explain The Officious Bystander Test
- Steps of test
- Case establishing it

Answer 2

Two Part Test to ensure contract works from business standpoint
1) Is term necessary to make contract effective
2) If parties thought at the time, they’d would’ve agreed to put in in contract

• The Moorcock

Question 3

Which case further develops step 2 of the Officious Bystander Test?

Answer 3

Shell v Lostock Garage
- To be implied, Parties would’ve agreed to it

Question 4

Which cases establish Implied terms through customs and prior dealings?

Answer 4

Hutton v Warren
- Custom

Hillas v Arcos
- Prior Dealings

Question 5

Which statute implies terms in contracts?
Which sections of statute?

Answer 5

Consumer Rights Act 2015
s9 - satisfactory quality
s10 - fit for purpose
s11 - goods match description