Terms of The Contract Flashcards
Dick Bentley v Harold Smith 1965
SPECIAL KNOWLEDGE OR SKILL
Dick was an expert dealer and sold the car to Smith informing him the car had only done 20,000miles
However after it was found to have done alot more than that.
Court held C relied on Ds expert knowledge - Term
Couchman v Hill
IMPORTANCE OF THE STATEMENT
Plantiff said he only wanted an unserved heifer, after sale was found to be pregnant. Plantiff sued for breach due to the importance of the representation
Court held was Term
Routledge v Mackay
AGREEMENTS IN WRITING
Signed contract of sale for a 1942 motorcycle. was found not be 1942.
As date of motorcyle wasnt speicifed in writing then oral representaion did not matter
Parol Evidence Rule
Under this rule, where there is a written contract, extrinsic evidence cannot change the terms laid down in writting
Rectification - Exception Parol Evidence
Where document is intended to record a previous oral agreement, but failed to do that accurately - Extrinsic evidence is admitted
Partially written contracts - Exception Parol Evidence
Where a written contract was intended to be qualifed by other written or oral terms
Dependent on fufilment of Specified Event - Exception Parol Evidence
Parol rule does not apply to extrinsic evidence which shows that the written contract was intended to come into force in particular circumstance
Pym v Campbell
Parties orally agreed that their contract would only come into force after their invention was approved by expert
Evidence about parties - Exception Parol Evidence
Extrinsic evidence can be used to show capacities in which parties were acting in when they made the contract
Proving Custom - Exception Parol Evidence
Where a custom needs to be explained or proved
Smith v Wilson
1,000 rabbits in local custom was known to mean 1,200
Officious Bystander Test
Term left out by mistake, becuase parties thought it was too obvious to include
Shirlaw v Southern Foundaries - Mackinson LJ
OBY Test “Its so obvious it goes wihtout saying”
Buissness Efficacy Test - Lord Sumption
“A term can only be implied if wihtout the term, the contract would lack commerical or practicle coherence”
The Moorcock 1889
Contract to use jetty and wharf in order to load and store cargo from the Moorcock, Plantiff ship ran aground due to low water levels
Court held that D was liable as jetty and wharf could not be used unless river was safe - BE Test