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Laws of contract and some cases
Laws of contract and some cases
Laws of contract and some cases
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Contract Law
Viv Windsor bought a local shop and a computer,
Anxious to please the locals, put an advert in the local news paper on
a Saturday, stating that she would sell luxury chocolate shortbread
for £2.50 instead of the recommended retail price of £5.
She also stated that anyone wanting the shortbread should email her or
come to the shop.
Eric pollard, the appellant saw the email at 4.30pm on Saturday and
sent her email on the same day.
She realised that evening that she was making lose so she decided to
revoke the advert.
She contacted the newspaper who published her revocation 9.am the next
morning.
The paper got delivered to Eric at 10.30am
Viv checked her email at 10.35am,
She replied stating that the discount was no longer available.
Eric sued her for breach of contract.
A GROUND OF APPEAL
There was no contract between Viv and Eric since the notice in the
paper was not an offer but an invitation to treat.
ARGUEMENT
A contract by definition is an agreement between two parties by which
both parties are bound by the law and which can therefore be enforced
in a court or other equivalent forum. The law of contract has been
known to bring equality and fairness especially to consumers whom are
said to be more disadvantaged than suppliers/ sellers. Statutes have
also been developed for example, sales of goods act (1979) and the
unfair terms in consumer contract regulations (1994) but does this
mean that consumers are the only ones with rights when it comes to
contract? Should sellers be bound to sell their goods forcefully due
to the law of contract? The answer to these questions ...
... middle of paper ...
...tion is communicated using the same channel
used to communicate the original offer and if this is done it is
irrelevant if particular offerees did not see or know about the
revocation although this is not an English case, the English case of
Routledge V Grant (1828) which set an authority that an offer can be
revoked provided it is communicated to the offeree. This would be
applied if Eric had really believed that there was a contract in the
first place.
Since there was no consensus ad idem, the advert made by Viv falls
under the shopping rules which states that an advertisement on a
newspaper is not an offer but an invitation to treat, there was no
offer nor acceptance of any sort, it would be simply fraudulent for
Eric to try and Force Viv into an un- existing contract and try to
make her liable to prosecution.
Our decision was based on determining if there was contract formed and if the terms of said contract were performed by both parties. We found that Abigail placed an advertisement with the intent to lead readers to believe that she was selling “purebred toy breed puppies” for $100, “quoted for immediate acceptance”. Alex responded to Abigail’s advertisement and accepted her offer by submitting the required $100 payment to the P.O. Box, as stipulated in the advertisement, and inquired about when he could pick up
When discussing the concept of contract law, there exist two bodies of legal rules that may apply to the contract. These bodies are the common law of contracts and Article 2 of the Uniform Commercial Code or the UCC. The common law of contracts is court made and is constantly changing, but the UCC is required in every state within the U.S.A. It is important to know which one to use and when, as well as what the differences between them are.
Australia, commercially would be at an advantage if contract law was codified. The common law system which contracts calls home, can only take on so many avenues and limits itself when stretched to cover new areas. There needs to be a national set of laws governing contracts on the commercial front and in general areas to overcome discrepancies across borders. However there still remains inconsistency with consumers, minors and business trade through contracts made online. The digital economy is not only one of the fastest growing areas but is forever changing and is definitely a prospect that needs to be covered. Effective legal safeguards against undue exploitation and advantage-taking in such online dealings would see Australian contract law remain in the global arena. The Australian public need greater stability and certainty from contract law, and codification is a step towards fulfilling that void by allowing citizens to be well equipped and educated on their rights and decisions.
The scenario I have been given highlights the main complexity of contract law. It touches on issues such as unilateral contracts, revocation as well as advertisement. I will be advising Mick (claimant) answering: Whether Yummy chocolate is liable to give a year supply of chocolate as advertised?
Andrews N, Strangers to Justice No Longer: The Reversal of the Privity Rule under the Contracts (Rights of Third Parties) Act 1999 (2001) 60 The Cambridge Law Journal 353
When it comes to contracts, there are certain elements or requirements, which need to be met in order for the contract to be valid. Defined, a contract is “an agreement that can be enforced in a court; formed by two or more parties who agree to perform or refrain from performing some act now or in the future” (Hollowell & Miller, 2014, p. 110). With contract law, there is the enforcement of promises made between two parties, even if made in private. Additionally if a promise is made, there is the possibility of the obligation falling into a moral liability rather than a legal liability. All in all, when it comes to business agreements, contract laws will apply to avoid any possible problems that may arise.
Based on common law and precedent, the English law of contract has been formulated and developed over a number of years with it’s primary purpose to provide a regulated framework within which individuals can contract freely. In order to ensure a contract is enforceable there are certain elements which must be satisfied, one of which is the doctrine of consideration. Lord Denning famously professed; “the doctrine of consideration is too firmly fixed to be overthrown by a side wind” . This is a crucial indication that consideration has long been regarded as the cardinal ‘badge of enforceability’ in the formulation and variation of contracts in English common law.
HILLIARD, J. And O’SULLIVAN, J. (2012) The Law of Contract [Online] 5th Ed. Oxford: Oxford University Press. Available from - http://books.google.co.uk/ [Accessed: 2nd January 2014]
rule", The electronic formation of contracts and the common law: "mailbox. baylor law review. 8 april
Explain why it is important to have an intention to create legal relations when making a contract and why is consideration of the parties to the agreement necessary-:
In this case, the manufacturers of a smoke ball company published an advertisement during the period of the influenza epidemic promising that the medicine would provide the patient with immunity and if they contracted influenza, they would receive £100. Mrs Carlill contracted influenza and claimed the £100. The court held that the company was bound by the offer to pay the sum accepted when Mrs Carlill purchased the smokeball.
The issue in this case is whether there is a legally binding contract between Roland and Bernie. The things that needs to be considered is whether there is an agreement between Roland and Bernie. If there is an offer and acceptance, then there is an existence of agreement. According to Section 2(a) of the Contract Act 1950, offer can be defines as when one person implies his/her willingness to another in order to acquire their consent. (Abdullah et al, 2011) The person who make the offer is known as ‘offeror’ or ‘promisor’. (Lee and Detta, 2009) An offer can be made in the method of orally, by conduct, writing or by the mixture of these forms. An offer must require an effective communication with offeree. The formation of contract when offeree accepted the proposal. (Dass, 2005)
“The case of Carlill V carbolic Smokeball Company is considered a land mark in the English Law of contracts.”
A contract is an agreement between two parties in which one party agrees to perform some actions in return of some consideration. These promises are legally binding. The contract can be for exchange of goods, services, property and so on. A contract can be oral as well as written and also it can be part oral and part written but it is useful to have written contract otherwise issues can be created in future. But both the written as well as oral contract is legally enforceable. Also if there is a breach of contract, there are certain remedies for that which are discussed later in the assignment. There are certain elements which need to be present in a contract. These elements are discussed in the detail in the assignment. (Clarke,
A contract is generally considered to be an exchange of promises or an agreement between parties which in due course legally binds the parties; this can be enforced by the English Law. A contract is always, referred to the basic foundations of Contract Law, which refers to promises being kept amongst two parties. It is clear that all people make contracts nowadays and do not even consider for a moment that they are forming contracts; these can be formal or informal, oral or written.