week 3 contract law Flashcards
(19 cards)
what are the different ways judges interpret statutes
- golden rule 1964 alder v George
- literal rule 1869 Whitley v Chappell
- contextual rule
- mischief rule 1950 corked v carpenter
what is a contract
an agreement between tow or more people thats legally binding
what are the 5 elements of a contract
- agreement: this includes offer and acceptance of some definite terms
- intention to create legal relations: in business this is presumed
- compliance with requires formalities where applicable
- consideration: a promise to give do or stop doing something and in return parties make similar promises
- capacity to contract: parties must have the capacity to enter into a contract, could be a minor or mentally incapable of understating contract
what are the different forms of a contract
simple contracts - contracts made in any form
speciality contract - contracts that have to be in a particular form to be legally enforceable by the courts
what is a bilateral contract
a party promises a certain action in reposes to the other party’s action
what a unilateral agreement
one party makes a promise of an action if another party executes an action but no obligation to execute this action - insurance policy
what is an offer
agreement of a contract exists with an offer
usually a party makes an offer which sets out proposed terms the offeror
the other part choses whether they want to accept this or not the offeree
when is an offer an offer
offers must be clear without terms that are too vague
distinct from an invitation to treat
pharmaceutical society of gb v boots
not allowed to sell drugs without a pharmacist boots argued whilst it has self service shelves customer has to take drugs to the till for the payment which is when the contract is complete not when they put the good in their basket so are not ccomittinh any offence
whats an invitation to treat
inviting others to make an offer but its not an offer in itself, it initiates negotiations and shows interest in potentially doing business but doesn’t commit to a specific deal until someone proposes terms
fisher v bell 1961
statute dictated that it was an offence to offer for sale and offensive weapon however because contract law says displaying item sin shop window constitutes to a invitation to treat and not an offer for sale defendant was acquitted
unilateral offer
this can remade to everyone in an adveert without communication of acceptance, for a unilateral contract to be valid the request action is both acceptance and consideration
when is an offer an offer
offer must be communicated to the other party
a person cannot accept an offer they do not know about
what re the different ways to terminate a contract
- termination by death
- termination by lapse of time
- termination by rejection and counter offer
- termination by revocation
what is termination by revocation
offer is withdrawn by the person making the offer
offer can be withdrawn up until it is accepted
but is the offeror makes a promise to keep the offer open and the offeree gives them something in return they are contractually bound
withdrawal of the offer must be communicated to the offeree until then the offer remains open
withdrawal can be communicated by a third party
how does termination by rejection and counter offer work
if a counteroffer is made this is regarded as a rejection of the original offer
- in unilateral contracts if the offeree has started to execute the action there is an implied obligation not to withdraw the offer
how does termination by a lapse in time work
if the offer has a time limit it willl expire at the end of that time
if not specified time limit it will still expire after a reasonable time
how does termination by death work
the deceased offeree is unable accept an offer because they are dead
if the offeror dies then the offer terminates when the offeree knows of death
how can acceptance be made
- orally
- in writing
hammer fall at auction - indicated by the conduct of the offeree
