Writing and interpretation Flashcards
Why are contracts written, compared to orally etc
most disputes are over the interpretation of a contract, having it written decreases the likelihood of a dispute
What is the Statute of Frauds and some of the examples
Makes certain transactions unenforceable unless they are in writing, including:
1. executor of a will to pay a debt of the estate
2.promises to answer for the debt of another
3. consideration of marriages (pre-nups)
4. interest in land
5. contracts for longer than one year
6. Ratification of infants contract
What are the requirements to meet statute of frauds
- all of the essential terms must be written
- no need for memorandum be all in one document
- note must be signed by the party being sused
What is the doctrine of part performance
allows for the enforcement of an oral contract concerning land when one party has taken substantial steps to perform their obligations
What is the test for doctrine of part performance
- contract concerning land
- act of performance suggests the existence of a contract dealing with the land in question
3.plantiff must have relied on the existence of the contract and suffered the loss if contract is no enforced
What is strict/ plain interpretation method and what are the cons
based on dictionary or ordinary definition of word
few words have one meaning
definitions change over time
What is the liberal interpretation method and what are the cons
purpose/ intent behind the document
judges interpretation can be baseless
What is the process/ chain judges will use when it comes to contract interpretation
Definitions-> words used -> sentence/ paragraph construction -> surrounding circumstances
What does Contra proferentem mean
where the contract is ambiguous and where there is unequal bargaining power between the parties, it will be interpreted against the drafting party
What is parole evidence
evidence that contradicts, varies, or adds to the terms of a written contract, can only be used in specific situations
When can parole evidence be used
When a written contract has:
-ambiguity
-fraud, duress, ect
-collateral agreement
-conditional precedent
-subsequent oral agreement
What is an implied term
not expressly included, the parties would as reasonable people, have included had they thought of the possibility of the situation arising
What is a collateral agreement
Entirely separate undertaking agreed on by the parties prior to the written agreement, but not included in the agreement
What is conditional precedent
an event or condition that must occur before a party has an obligation to perform under a contract
ex: funding before buying a car
