Terms Implied by Common Law

Question 1

What are express terms?

Answer 1

Terms that are specifically agreed between the parties

Question 2

What are implied terms?

Answer 2

Terms that are not mentioned in the contract but are expected. Courts will impose these

Question 3

What is the use for the business efficacy/ officious bystander test?

Answer 3

to assess whether it is necessary to imply a term for the contract to work on a business-like-basis

Question 4

What is the Business efficacy and case?

Answer 4

is it necessary for courts to imply term in order for contract to be effective
Case = the Moorcock (safety of boats)

Question 5

What is the officious bystander test and case?

Answer 5

had another party been there at time contract was made, would they have presumed the term in question should be implied
Case= Hollier V Rambler (Car repair)

Question 6

How will a term be judged if it is implied?

Answer 6

It will be judged according to reasonableness (Objectively)

Question 7

Test for terms implied by Custom and case?

Answer 7

What was the norm/ expected course of action at the time the contract was made
Case = Hutton V Warren (Harvest)

Question 8

Does prior conduct of parties indicate terms to be implied?

Answer 8

Yes, Prior terms stated in previous contracts would be implied within contract in question (Case = Hillas V Arcos)