Revision class Flashcards
Invitation to treat
is not capable of being accepted
invitation for offers and open to negotiations
Pattridge V Crittenden - advertisements.
Gibson V Manchester cc
“may prepared to sell”
Invitation to treat
Boots V Pharmaceutical
Goods on display
Invitation to treat
Entores V Miles Far East
Acceptance must be communicated
must mirror the offer and agree on the same terms.
mirror image rule.
An offer
an expression of willingness to be bound on specific terms if accepted.
Oral/ written or by conduct
Taylor v Laird
An offer must be communicated to the offeree
Ships captain
Hilla v arcos
An offer
Must be certain, i.e
Include Terms
Term was vague but industry standard
Destroys an offer (4)
Lapse of time
Rejection / Counter Offer
Acceptance
Revocation
Stilk V Myrick
Consideration
Performance of existing duty is not good contractual consideration for a new promise
Doing 2 men’s work
Acceptance
- parties are both in agreement and have accepted each others terms.
Can be accepted via postal rule
Silence can not be taken as acceptance
Felthouse v Brindley
Butler Machine Tool v Ex-cell-o
Acceptance
It can be through conduct (took delivery)
Battle of the forms
Postal rule
Acceptance on posting rather than when received
Postal rule - must be agreed between the parties that they can use this form of communication. Stamped Property and Addressed properly. Acceptance is when it has been posted.
Adam V Lindsell
Currie v misa
Consideration
Price paid for a person’s promise
Benefit and detriment
Consideration is something of value which is exchanged between the parties
both parties must contribute something of value
they must each suffer a detriment and a benefit
cannot be a gift
Exchange of promises
Currie v misa
Two types of consideration
executed
and
Executory
Doctrine of privity
Tweedle V Atkinson - only parties to the contract are bound by the contract
Contract rights of third parties act 1999
Special knowledge or skill
greater knowledge on the area such as a car specialist it is more likely to be a contractual term
Oscar Chess v Williams
Past consideration
Not good
Re McKardle
Exception to past consideration not being good consideration
Performing service - doctrine of implied assumpisit
Lampleigh v Braitwait
Consideration
Need not be adequate, must be sufficient, tangible & have value (2)
Thomas v Thomas
chappel v nestle
implied terms
statutory rights, such as Consumer Right Act 2015
by custom or trade
in fact or in law or by the courts
Consideration
Existing DUTY is not good consideration - the exception
Harris & Sheffield United - police
Over and above
Performance of existing DUty is not good contractual consideration for a new promise
Stilk V Myrick
they had gone beyond their existing CONTRACTUAL duty
Hartley v ponsonby (4 mens work, danger)
was entitled to the money owed
Exception
to performing existing CONTRACTUAL duty IS not good consideration
-
Williams V Roffey bros
Practical benefit for its performance
No financial distress
Innominate Terms
Cannot be defined at the time of the breach. Effect depends on how serious the results are
Hong Kong Fir Shipping v Kawasaki
Misrepresentation is
A false statement that induces the other party into entering the contract
Social & domestic contract assumptions can be rebutted if
Divorce or bad feelings
Merrit v merrit
Practical benefit or disadvantage to a party
Simpkins V Pays
Business contract assumptions can be redutted if
Binding in honour only clauses ‘subject to contract’
Rose & Frank v Crompton
Or mere statements
Contract contents
What are
Terms
&
Representations
Consider
expertise of the parties
importance of the statement
if is it a persuasive element
Term:a clear defined statement that the offeror wishes to be bound by and forms part of the contract
Mere Representation: An advertising phrase that would have no real meaning, such as best car on the road
Four ways to Discharge a contract
Agreement
Performance
Frustration
Breach
Discharge of contract - Agreement
by agreeing to discharge the contract, both parties are agreeing that they both wish to be freed of their obligations of the contract
Accord and satisfaction
Discharge of contract - Performance
when both parties have done what they promised to do, the contract will come to an end.
“the entire performance rule” states both parties have to do precisely and completely what they promised
Cutter v Powell (cutler performance)
Contents of contract
Terms or representation - Reduction in to writing
Verbal is more like to a representation
birch v paramount estates (show House)
Contents of contract
expressed terms
normally come with notice and is in the contract
Contents of contract
Where do implied terms come from (3)
statutory rights, such as CRA 2015
by custom or trade
in fact or in law or by the courts
Essential factors to make a claim
Must be a breach
Must have caused the loss
Not too remotness
Must have attempted to mitigate the loss
Business efficacy test
Officious bystander test
The Moorcock
obvs & necessary to the contract
A bystander = oh of course
Contents of a contract - Conditions
a major term of the contract which goes to the root of the contract
Poussard v Spiers and Pond
Rescission and damages
Contents of a contract
Warranties
minor terms of a contract
damages but can not end the contract
Bettini v Gye
Innominate Terms
Cannot be defined at the time of the breach. Effect depends on how serious the results are
Hong Kong Fir Shipping v Kawasaki
Misrepresentation is
A false statement that induces the other party into entering the contract
3 types of misprep
Innocent - party is unaware
Fraudulent - does not honestly believe it to be true
Negligent - reckless, careless, believe it but no reasonable grounds to believe it
Misrep act 1967
Negligent
damages under S2(1) Misrep act 1967
Howard Marine & Dredging Co v Ogden & Sons
Royscot Trust v Rogerson (claim under Misrep act)
Fraudulent
Rescission and/or damages in the tort of deceit
Derry v Peek
Innocent
rescission
or
damages in lieu of rescission under S2(2) Misrep act 1967
Discharge of contract - Agreement
by agreeing to discharge the contract, both parties are agreeing that they both wish to be freed of their obligations of the contract
cutter v Powell
Discharge of contract - Performance
when both parties have done what they promised to do, the contract will come to an end.
“the entire performance rule” states both parties have to do precisely and completely what they promised
Discharge of contract
What is Frustration
A contract may be frustrated where there has been a unforeseeable frustrating event after the contract was made. It is not the fault of either of the parties. the event was unforeseeable such as COVID. Each party is discharged from future obligations and this rescinds the contract. the contract becomes illegal to perform it will frustrate the contract
Fibrosa
Essential factors to make a claim
Must be a breach
Must have caused the loss
Not too remote
Mitigate losses
Breach - Must be aware
Victoria Laundry v Newman Ind.
Equitable remedies
@ Courts discretion
Repudiation
Rescission
Specific performance
Injunctions
Hyde v wrench
Stevenson Jaques Co v mclean
Destroys an offer
Counter Offer
Does not - requests for further information.
Dickinson V Dodd
Revocation of an offer - communicated
Dickinson V Dodd by a reliable third party
Can be withdrawn before acceptance.
Adams v Lindsell
Postal rule
Oscar Chess v Williams
Contract term
greater knowledge on the area such as a car specialist it is more likely to be a contractual term
Re McCardle (home improvements)
Past consideration is not good
Lampleigh v Braitwait
doctrine of implied assumpisit
Performing service
Exception to past consideration not being good consideration
Fibrosa v Fairbairn
Frustation
the contract becomes illegal to perform it will frustrate the contract
Condor vs The Barron Knights
Frustation
Death or illness
Knell vs Henry
Frustation
An event linked to the contract does not take place
Frustation
Venue unavailable
Taylor v Caldwell
Law reform (frustrated contract) Act 1943 Gamerco v ICM
Four types of frustration
Death
Venue
Event
Illegality
