Legal Definitions

Question 1

A contract

Answer 1

1) Agreement
2) Consideration
3) Intention
4) Legal capacity

An agreement
supported by consideration from both parties
and made with the intention of being legally binding
by parties who have the legal capacity to make such an agreement

LICA backwards

Question 2

Agreement

Answer 2

Offer + acceptance

Question 3

Offer

Answer 3

An expression of willingness

to be bound on certain terms

EoW
BoC

Question 4

Invitation to treat

Answer 4

Inviting another to make an offer

Question 5

Acceptance

Answer 5

Unconditional assent to all the terms of the offer

Question 6

Breach of Contract

Answer 6

A contract is not honoured by one or more of the parties to it

Question 7

Damages

Answer 7

A compensatory financial award

CFA

Question 8

Term

Answer 8

Any statement forming part of a contract

Question 9

Representation

Answer 9

A statement made by one party designed to induce the other party to enter into the contract

Question 10

Condition

Answer 10

A major term of the contract which goes to the heart of the contract, the very essence of the contract

Question 11

Warranty

Answer 11

a less vital, although still important term of contract

Question 12

Express term and Implied Term

Answer 12

Express - stated in the contract
Implied - a term deemed to form part of a contract even though not expressly mentioned

Question 13

Exclusion Clause

Answer 13

A contract term that attempts to exclude or limit liability for breach of contract

Question 14

Misrepresentation

Answer 14

A false statement of fact or law, made with the intention of inducing another party to make a contract