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28 Cards in this Set

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Define Contract 4 points

*Legally binding agreement Treitel


*Agreement = offer + acceptance


*Courts objective approach vs parties intentions


*Creates certainty

Define offer

expression of willingness to contract on specific terms with intention legally binding agreement



1. Oral


2. Written


3. Implied by conduct

Offer must be communicated to offeree

Taylor v Laird 1856



*no pay for ships captain as ship owners not aware of offer


*ships captain resigned but then helped ship home

Distnguish offer from ITT & define


*step in pre - contractual negns



*method to encourage someone to make a offer


ITT display of goods case

Pharma Society of GB v Boots Chemists 52



1. Display of goods is ITT



2. Customer makes offer at cash desk which staff can accept/reject



3. D acquitted of selling poisons without supervision


ITT adverts case

Partridge v Crittenden 68



Advert Wild birds for sale is ITT



cf w. Carlill case not ITT

Advert not ITT case

Carlill v Carbolic Smoke Ball Co 1893



1. Advert Reward not ITT


2. Offer can be made 1 person/world


3. Not mere puff as money set aside


4. Acceptance by conduct (take ball still contract flu)


ITT - Auctions & revocation of offer

Payne v Cave 1789



*Auction is ITT


*Bidder makes offer


*Hammer is acceptance


S57 (2) SGA79



Offer can be revoked anytime before acceptance

Offer set period - Revocation - Timing

Routledge v Grant 1828



*even if offer open for set time can revoke before expiry of time period

Offer - revocation communication

Byrne v Van Tienhoven 1880



Offer revocation



*general rule must be communicated before acceptance

Offer - Revocation (unilateral)

Shuey v US 1815



*revocation of offer made to world


*all reasonable steps to communicate

Offer - Revocation - Timing unilateral contract once perf started

Errington v Errington & Woods 52



*not poss to revoke once party embarked on perf


*collateral contract not to withdraw


*Hinges on parties intentions



Widower tried to revoke H's offer to transfer house when couple pay off mortgage installments

Offer - revocation - communication by 3rd party - 2 points

Dickinson v Dodds 1876



*revocation valid if reliable 3rd party (not just rumour) and reasonable person would believe


*Judged on facts of each case

Offer termination - lapse of time

Ramsgate Victoria Hotel v Montefiore 1866



Unreas. 5 months to accept offer shares

Cross - offers no agreement

Tinn v Hoffman 1873



*if cross offers no agreement as no "meeting of minds"

Postal rule in control Royal Mail/obiter re answer machines

Brinkibon v Stahag Stahl und Stahlwarenhandelsgesellschaft 83



*Obiter re answering machines out of office hours



acceptance when actually received but consider;


-intention of parties


-sound business practice


-judgement as to where risk should lie



Define acceptance

Acceptance = final unqualified assent to all terms of offer



Final


Unconditional


Communicated orally,writing or conduct



Felthouse v Bindley 1862

Counter-offer ends original offer

Hyde v Wrench 1840



cf. w Stevenson v McLean rfi

RFI not counter offer

Stevenson v McLean 1880



RFI not same as counter-offer


With RFI original offer remains in place

Postal rule

Adams v Lindsell 1818



*exception to gen rule acceptance must be communicated


*effective when posted and post reasonable method

Acceptance - confusing communications

Henkel v Pape 1870



*Typo in telegram


*"three" rifles actual


*"the" rifles sent


Held for three only


Acceptance - communication - electronic (telex)

Entores v Miles Far East Corpn 1955



*Telex when received



Courts finding agrt without O+A


(1 party already performed)

Trentham Ltd v Archital Luxifer Ltd 93

Courts find agrt without O+A yacht case

Clarke v Dunraven "The Satanita" 1897



Contract found to exist b/w contestants in yacht race

Courts find agrt without O+A (battle of the forms)

Butler Machine Tools v Ex-Cell-O Corp 79



*Business exchange std terms


*Each doc new counter offer


*Last shot principle


Offer - communication

Clarke 27



*no acceptance if not aware of offer

Courts finding agrt without O+A - laissez-faire

Gibson v Manchester CC 1979



Lord Denning "laissez-faire"



HoL held LD approach only in exceptional cases

Problem q planning

*Arrange events date order - time/event/legal issues


*Contractual significance each event


*discuss diff poss. If ambiguous


*consider content and communication of exchanges


*briefly agrt + reqts and courts objective approach


*Remedies incl specific perf


*what will each party be thinking


*how many contracts are there