intention to legal relations Flashcards
what is meant by intention to create legal relations
whether or not the parties intended the contract to be legally binding when they created it
what are the two categories for intention to create legal relations
social/ domestic, commercial
what is the starting point known as
the presumption
what is the presumption for social/ domestic contracts
no intention
what must a party do if they want to make the contract legally binding in a social/ domestic agreement
rebut the presumption (prove that there was intention)
what is a case for marriages where there was no contract (£30 a week)
balfour, husband agreed to pay wife £30 a week whilst he was working abroad. when they separated, husband refused to pay anymore. wife sued under breach of contract. courts said there was no contract because there was no intention to create legal relations because they were married and together when contract was made.
what is a case involving marriage where there was a contract
merrit. husband left wife. after divorce he agreed to pay her a monthly amount so she could pay her mortgage and wrote this down in a latter. he stopped paying, she sued. there was intent because they were separated when contract was made and it was in writing.
what is a contract involving a mother and daughter.
Jones. mother persuaded daughter to give up her high paid job to study for the bar. mother bought daughter a house to live in whilst she studied. mother sought to repossess house. daughter claimed she could not be kicked out because they had formed a contract. no contact, domestic arrangement.
what is the case involving two married couples where there was intention
parker, younger married couple sold their house and gave the money to their daughter to buy a flat to move in with older couple and care for them, on the grounds that they would be left the older couples house in the will. the younger couple could not be taken out of the older couples will. they had financially relied on the promise by selling their house and giving the money away, this proved intention. also the older couple initially putting the younger couple in their will proved intention.
what is a case for families entering business together.
snelling. 3 brothers, all directors of a family company, entered into an agreement. thsi was considered a commercial agreement and there was intent.
what is a case involving friends giving each other lifts
buckpitt. two 18 year olds had an arrangement to share lifts and share petrol money. on one of the journeys a friend was injured due to the others negligence. he could only get compensation if it was proved that they had a contract. no contract, no intention.
what is a case involving friends giving lifts where there was a contract
albert. for 8+years one work colleague had given the other two a lift to work and they paid him. one colleague was killed in an accident. his family could claim compensation because there was a contract, well established agreement with established, set-out payments.
what was a case involving bingo where there was no contract
wilson. three friends had a casual conversation agreeing to split any prize money three ways before enterring a game of bingo. one friend won 100,000 but refused to split it. there was no contract. C of A said that ‘casual conversations’ could not amount to legally binding contracts
what is a case involving a syndicate
simpkins. three people regularly entered competitions together, each chipping in with entry fees and agreeing to split any winnings. when one friend won £750 and refused to split it, there was a contract because the agreement involved money and was well established due to it being regular.
what is the presumption for commercial agreements
there is intention