Intention to create legal relations

Question 1

Balfour v Balfour

Answer 1

No ITCLR in the agreement between husband and wife to give the wife money while being on abroad because the circumstances (social) is considered and found that they are happily married at the time and marital arrangements are not the place of the law.

Question 2

Volumatic Ltd v Ideas for life

Answer 2

The burden of proof that there was no intention lies on the person asserting that position.

Question 3

Anchor 2010 v Midas Construction

Answer 3

Performance of contract is persuasive in indicating intention to create legal relations.

Question 4

Parker v Clarke

Answer 4

One of the 2 main grounds for rebutting the presumption that there is no intention is by “assessing how much reliance the party placed on the agreement.”

Question 5

Vaughan v Vaughan

Answer 5

One of the 2 main grounds for rebutting the presumption that there is no intention is “the certainty of the agreement.”

Question 6

Rose & Frank v Crompton Bros

Answer 6

To create a contract, there must be a common intention of the parties to enter into legal obligations, mutually communicated expressly or impliedly.

Question 7

Bunn & Bunn v Rees & Parker

Answer 7

There is a presumption that ICLR exists in commercial arrangements. - rebuttal would be Blue v Ashley