Intention to Create Legal Relations (Paper 3-Section B Topics 1-4) Flashcards
What is the presumption of business agreements?
There is an intentsion to create legal relations
What is the presumption of social/domestic agreements?
There is no intentsion to create legal relations
What is the presumption of business agreements if it is rebutted?
There is no intentsion to create legal relations
What is the presumption of social/domestic agreements when it is rebutted?
There is intentsion to create legal relations
Give the held of: Sadler v Reynolds
The burden of proof lies within the C to prove ITCLR if it is unclear whether the agreement was domestic or business
What does ‘binding in honour’ mean?
Businesses cant be sued for not fulfilling in their side of agreement
Give the held of: Jones v Vernon Pools
As C signed the coupon there was no contractual obligation to honour the agreement
In business agreements where does the burden of proof lie?
With the person who is trying to prove there is no legal intention
Give the held of: Edwards v Skyways
Payment was legally binding
Give the held of: Esso Petroleum Co. Ltd v Commissioners of Customs and Excise
Esso had ITCLR when they offered a gift that was to attract more coustoms so they had to pay tax for the gift
Give the held of: McGowan v Radio Buxton
There was an ITCLR. C was compensated.
What is a letter of comfot?
A usually not legally binding document written by a trusted/reliable source which provides assurance that an obligation will be fulfilled
Give the held of: Kleinwort Benson Ltd v Malaysian Mining Corporation (MCC)
This letter was not legally binding. MCC were not obligated to do anything
Give the held of: Balfour v Balfour
The agreement was made when they were married, so it was a domestic agreement, there was no ITCLR
Give the held of: Merritt v Merritt
There was ITCLR as the couple have separated when the agreement was made