Terms Flashcards
What are meant by expressly written terms?
Terms which are written into a contract
What is meant by written notice?
Expressly written terms
A document may be given containing terms which may be delivered to another party
The notice must be;
- given at time or before contract made
- intended to have contractual effect
- terms are reasonable
Charleston v Barry Udc- there was not a term because it did not intent to have contractual effect
What is a term?
A legally enforceable provision in the contract which both parties must agree with
What is a representation?
A statement which induces a party to enter a contract
What is meant by the red hand rule?
Expressly written terms
Where one party wishes to include a harsh term into the contract that is ‘onerous or unusual’ it must be brought to the other party’s attention before the completion of the contract
Blu sky v be caring- not included in contract as it was not brought to be carings attention
What is the rule with tickets?
Expressly written terms
Where the terms are on a ticket there is an expectation that the other party’s gas read the terms and agreed to them.
If the recipient does not know an objective test will be used if the reasonable person would expect terms to be on the ticket
Thompson v lms railway- lms had taken reasonable steps
What is the rule with signed documents?
Expressly written terms
The rule with signatures is the party is bound by the terms of an agreement when they sign the contract that contains them.
L’estrange v graucob- they had signed the contract so is a presumption that it had been read
What are orally expressed terms?
Statements which are said during contractual negotiations
What is meant by importance?
Orally expressed terms
Where the statement is obviously important to the contract then it will be seen as a term
Couchman v hill- importance if the statement the court would make it a term
What is meant by specialist knowledge?
Orally expressed terms
If a person making the statement has specialist knowledge/skills it is more likely to be a term
Oscar chess- no specialist knowledge so likely a representation
Dick Bentley- car dealer had specialist knowledge so likely a term
What is meant by a time lag?
Orally expressed terms
Where a statement has been made time after negotiations it is likely to not be a term as if it was importance it should have been brought up again
Routledge v mackay- only a statement as buyer could have checked in 7 days
What is meant by whether there is a written statement?
Orally expressed terms
The courts presume everything the parties wanted to include as a term should have been written into the contract
Duffy v Newcastle united football club-
What is meant by the business efficacy test?
The courts will ask
1. Is the term necessary to make the contract effective?
2. If the parties of the contract had thought about the term, would they have agreed the term was obviously going time be in the contract?
Schawel v reade- implied term as it was necessary
What is the officious bystander test?
- Something is so obvious without Saying
Shirlaw v southern foundries - sued the company for breach of contract
What is meant by a condition?
Classification of terms
Terms of the contract that are essential to the completion of the contract without them they wouldn’t work
Poussard v spiers & pond- presence was central to the contract so it was a condition
What is meant by a warranty?
Classification of terms
A non vital term within a contract, it is still important to the completion of the contract but it will not destroy the cintract
