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50 Cards in this Set

  • Front
  • Back

What are implied terms

Terms of the contract that don’t reflect the intentions of the parties but form part of the contract

What are the two kinds of contractual terms

Express and implied

Describe implied terms

terms of the contract where parties didnt expressly agree or enter into a contract but are nevertheless implied included either by courts/customs/ statutes

are parties to a contract hundred percent free to agree on the terms of the contract

no courts or parliament might interfere and change the intention of the parties

what cases come under the test of the officious bystander

Shirlaw v Southern Foundries


Shell UK Ltd v Lostock Garage Ltd

what case says a term will be implied into a contract if its undeniable that the parties intended it to form part of the contract

Shirlaw v Southern Foundries

what case says the officious bystander test is a strict one and the standard is one of necessity rather than reasonableness

Shell UK Ltd v Lostock Garage Ltd

what case comes under the test of business efficiency

The Moorcock

what case says a term will be implied if w/o the implication the contract would be unworkable

the Moorcock

what new test did Lord Hoffmann introduce for implication

a single test of construction

what case did the single test of construction originate in

Attorney-General of Belize v Belize Telecom Ltd

what did the Supreme court do to Lord Hoffmanns test

rejected it and restored the other 2

in which case were the tests of the officious bystander and the business efficiency test originate from

Marks & Spencer plc v BNP Paribas Securities Services Trust

for terms implied by courts in law what case says theres no need to establish the intentions of contractual parties

Shell UK Ltd v Lostock Garage Ltd

what are the three ways terms of the contract might be implied

by court, custom, trade or statute

when do we imply terms of law

when its necessary for the purpose of justice and public policy

what are the two ways the court may imply terms into a contract

by fact


by law

what are the 3 requirements a term must oblige with to be considered a valid implied term by the courts

cannot contradict the express terms of a contract


capable of clear expression


must be reasonable and equitable

what test is applied to read the intention of the parties of whether theres an implied term in fact

implication must be necessary

do courts often imply terms under fact

no theyre generally very reluctant

if courts were to often interpret implied term whats a potential wider consequence

could affect legal and contractual certainty

what might courts be accused of if they were to frequently imply terms into contracts

writing/ modifying/ burying the intentions of the parties

what do courts look at when considering whether to imply a term in fact into a contract

the factual background/ circumstances/ evidence

whats the 2 tests for ‘implication must be necessary’

the test of the officious bystander


the test of business efficiency

are parties to a contract hundred percent free to agree on the terms of the contract

no courts or parliament might interfere and change the intention of the parties

what cases come under the test of the officious bystander

Shirlaw v Southern Foundries


Shell UK Ltd v Lostock Garage Ltd

what case says a term will be implied into a contract if its undeniable that the parties intended it to form part of the contract

Shirlaw v Southern Foundries

what case says the officious bystander test is a strict one and the standard is one of necessity rather than reasonableness

Shell UK Ltd v Lostock Garage Ltd

what case comes under the test of business efficiency

The Moorcock

what case says a term will be implied if w/o the implication the contract would be unworkable

the Moorcock

what new test did Lord Hoffmann introduce for implication

a single test of construction

what case did the single test of construction originate in

Attorney-General of Belize v Belize Telecom Ltd

what did the Supreme court do to Lord Hoffmanns test

rejected it and restored the other 2

in which case were the tests of the officious bystander and the business efficiency test originate from

Marks & Spencer plc v BNP Paribas Securities Services Trust

for terms implied by courts in law what case says theres no need to establish the intentions of contractual parties

Shell UK Ltd v Lostock Garage Ltd

what are the three ways terms of the contract might be implied

by court, custom, trade or statute

when do we imply terms of law

when its necessary for the purpose of justice and public policy

what case shows the courts taking policy into consideration when applying an implied term by law

Liverpool City Council v Irwin

when may a court take custom into consideration when implying a term by custom

if theres sufficient evidence to suggest that there is an established custom

what cases demonstrate the courts implying a term by custom

Hutton v Warren

what does the party relying on the caim have to prove

the existence of a custom

what case says the courts will not imply a term by custom if the parties have explicitly agreed on something different

Les Affréteurs Réunis SA v Leopold Walford

what are the two ways the court may imply terms into a contract

by fact


by law

what are the 3 requirements a term must oblige with to be considered a valid implied term by the courts

cannot contradict the express terms of a contract


capable of clear expression


must be reasonable and equitable

what test is applied to read the intention of the parties of whether theres an implied term in fact

implication must be necessary

do courts often imply terms under fact

no theyre generally very reluctant

if courts were to often interpret implied term whats a potential wider consequence

could affect legal and contractual certainty

what might courts be accused of if they were to frequently imply terms into contracts

writing/ modifying/ burying the intentions of the parties

what do courts look at when considering whether to imply a term in fact into a contract

the factual background/ circumstances/ evidence

whats the 2 tests for ‘implication must be necessary’

the test of the officious bystander


the test of business efficiency