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Offer contract law case study
Offer contract law case study
Offer contract law case study
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In order for Barry to bring a successful legal action against Sarah he would have to prove the following main points of law. 1, There was a valid and current offer 2, Acceptance of a valid offer was received by Sarah. 3, The first two points occurred in the correct manner, and the offer was accepted resulting in a binding contract. The sequence of events and the resulting points of law were as follows On Monday Barry contacted Sarah, his sister to discuss IT needs as this is her area of expertise. Sarah confirms she has 3 different computers that she would expect to receive at least $1000 for each of them, and that she would be prepared to hold the laptop until Friday if Barry was interested. Barry confirmed his interest and requested to see photos of the laptop. On Wednesday, Sarah directs him to an advertisement online with pictures of the laptop. At this point Barry has enquired, no offer has been made and Sarah has shown an invitation to treat as per Partridge v Crittenden (1). We are not made aware of the contents of the online advertisement, nor are we privy to the asking price of the advertisement. Nor are we aware of the stated method of acceptance if any, this is important as per Adams v Lindsell (2) for when no means of acceptance is stipulated. This would mean that Sarah would only have to make Barry aware of her acceptance for it to be binding. Sarah directs Barry to a commercial advertisement for her business this makes it a professional dealing and not a family one as this is Sarah’s business and she has elected to deal in a business sense not a family sense therefore intention to be bound must meet a business requirement not a family one refer to case: Carill v Carbolic Smoke Ball Co (3). To clarify that this is no... ... middle of paper ... ...arah, this was not accepted and there can be no legally binding agreement between the two parties. In conclusion we confirm Barry made a legitimate offer for the laptop of $1000 and a 12 month warranty, this was communicated to Sarah who did not agree to it only showed consideration not acceptance, Barry then attempted to revoke the initial offer and propose a new contract arrangement. This new offer was never received by Sarah nor was the revocation of the first offer communicated in a satisfactory manner. This means as Sarah had no agreement with Barry she was free to sell the laptop to Aiden for the offered $1200. Therefore Barry would not be able to bring a legal action against Sarah for the sale of the laptop due to no valid contract for the sale of it between them. Works Cited Graw, Stephen, An Introduction to the Law of Contract (Lawbook, 7th ed, 2012)
Maria had spoken with Eva over the phone concerning the correct total amount of $60,000 for rendering decorating services provided by Eva. Maria had sent a letter of the telephone conversation stating that Eva agreed to take $60,000 in full satisfaction obligation under the contract. Although Eva, changed her mind when depositing the check in the bank, she legally entered a mutual agreement over the telephone where it resulted in a unliquidated debt, payment is lower than actual.
The defense’s argument that Abigail’s offer did not specify a particular a purebred was not upheld by the jury. Alex thought that he was getting a Chihuahua, or at least a purebred dog. “Such a misrepresentation is one that is likely to induce a reasonable person to assent to a contract” (Twomey & Jennings, p. 273). By delivering a dog that did not reasonably fit within the slightest specifications of a purebred, Abigail blatantly disregarded the contract between she and Alex. Her ad stated that she was selling “purebred toy breed puppies”, not a mix bred (mutt) and definitely not a full size dog, which is what Alex later found out to be the dog he received. The plaintiff was in fact harmed by Abigail’s actions in the form of having paid money in good faith that she would uphold her half of the agreement. The fact that Alex accepted the puppy from Abigail and now has an attachment to the dog, does not excuse Abigail’s actions, nor does it acquit her of any wrongdoing. The plaintiff has established the four elements of
The four elements of a contract are the agreement, the consideration, contractual capacity, and a legal object. The oral agreement between Sam and the chain store satisfies the agreement element of a contract definition because when the chain store offered to sell Sam 's invention at their stores, Sam accepted by agreeing to ship 1000 units in exchange. The second element of a contract, the “consideration of each party,” is satisfied because Sam and the chain store have something to give the other (1000 units of the invention in exchange for the exclusive sales of the product at their stores). The third element is “contractual capacity,” which may or may not be fulfilled since we do not know Sam 's age or whether
However prior to the modern understanding of Consumer Rights there was a understanding of Caveat Emptor – Buyer Beware –this has been a fundamental premise of consumer wellbeing prior to World War ‖ , relation to transactions, principle that the buyer purchases at his own risk in the absence of an express warranty in the contract . This common law rule assumes that buyers and sellers are in an equal bargaining position. However there has been evident change in consumer rights which have contributed to the precedence of using Caveat Emptor is no longer acceptable, apparent in the case ACCC v Hewlett Packard Australia (HP), illustrated that no longer can a company ...
In addition to, the advert requires people walking from Manchester to Birmingham thus a performance. As a result, this is a unilateral contract, which according to Jill pool contract textbook is ‘a contract where one party binds himself to perform a stated promise upon performance of a stated act by the promise’ . This highlights that anyone who performs the act will be rewarded by the yummy chocolate (defendant) thus a binding contract, Bowerman v Association of British Travel Agents Ltd (1996) . Carlill v Carbolic Smoke Ball Co (1893) is the most famous example of a unilateral contract. It was established that by Bowen LJ that ‘an offer can be made to the whole world’ and there is no requirement that the offeree communicated an intention to accept, since acceptance is through full performance . Therefore, it was the claimant’s choice to walk from Manchester to Birmingham, and once he sta...
A Theory of Justice is the magnum opus of 20th century social contract theorist and political philosopher, John Rawls. A bit of background into this work is that social contract theory had fallen out of favor with political scientists and philosophers since the last 18th century, with the success of the American Revolution and the apparent triumph of John Locke and Democracy. However, with the advent of modern globalization, the emergence of America as a superpower, but the growing concern of socio-economic disparity necessitated a revisiting of the social contract, what it means, how societies and governments were best constructed.
According to the Minnesota Court of Appeals (2005) the written offer is not evidence of a completed contract and therefore no contract existed.
Contractual agreement has always been viewed in terms of offer and acceptance. The universal principle to contract law has always been parties may get into an agreement in whichever way they deem fit and they are subject to certain terms as they choose. As far as legal requirements vital to their formation are binding contracts may be formed. Moreover a binding agreement may be manifested in terms of writing or in verbal form.
Intention to create legal relations can be defined as follows. ‘An agreement will only become a legally binding contract if the parties intend this to be so. This will be strongly presumed in the case of business agreements but presumed otherwise if the agreement is of a friendly, social or domestic nature.’ Source (HNC unit 5 Business law course book) In determining whether the parties intend their agreements to be legally binding the court is guided by two presumptions. Parties to a domestic or social agreement do not intend to be legally bond. Parties to a business agreement intend to be legally bond. These are presumptions only and can be rebutted by sufficient evidence to the contrary. Domestic and Social Agreements Balfour v Balfour (1919) Merritt v Merritt (1976) Simpkins v Pays (1955) Business Agreements Jones v Vemons Pools (1938) Source (HNC Business law notes) One of the essential elements in the creation of a binding contract, this intention is implied by the fact that it is not expressly denied. If expressly denied (as in a so-called gentlemen's agreement) the contract may not be enforceable. Consideration {text:bookmark-start} {text:bookmark-end} If you look at a legal agreement or contract, you will generally see a phrase in the opening paragraph indicating that the parties agree on an amount of money or "other good and valuable consideration." The concept of consideration has a long history in the law, but simply means something of value. An exchange of consideration between the parties to an agreement is necessary fo...
This judgment given set criterion which is still been used in the modern court system and due to this case it was developed that an offer of contract can be unilateral and doesn’t have to be made to a specific party only. Also it was developed to that the acceptance of an offer does not require a notification and that once the concerned party purchases the product the contract is active then and there itself. And it was also established that purchase of an item is a fine example of consideration and therefore makes it a valid contract. (Smith, 2000).
The basic law of a contract is an agreement between two parties or more, to deliver a service or a product. And reach a consensus about the terms and conditions that is enforced by law and a contract can be only valid if it is lawful other than that there can’t be a contract. For a contract to exist the parties must have serious intentions, agreement, contractual capacity meaning a party must be able to carry a responsibility, lawful, possibility of performance and formalities. Any duress, false statements, undue influence or unconscionable dealings could make a contract unlawful and voidable.
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)
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,
Offers is the promise made by the offeror and it must be distinguished from invitation to treat it also has a general rule that advertisement or brochures or price list amount to invitation, it cannot be defined as a valid offer. In this case Tony as an offeror he only advertised to invite consumer to treat according to the case Partridge v Crittenden [1968] 1 WLR 1204 generally this advertisement cannot be regarded as offer and there is no promise between Tony and Emma at beginning. Even though this advertisement
2014). Moreover, binding contract is made at the time and place when the letter of acceptance is posted. In the case of Adams v Lindsell (1818) 106 ER where Lindsell wrote to Adam offering him some wool and asked him to reply by post too. However, Lindsell’s letter was delayed in the post. The day Adam received the letter, he immediately replied with an acceptance letter but before it could reach Lindsell, she had sold the wool to other party. This leads Adam to sue Lindsell for breaching of contract. The court is on Adam’s side as there was an agreement made the moment he posted the acceptance letter to Lindsell (the postal acceptance rule). Moreover, Lindsell cannot argue the mode of acceptance used by Adam as she was the one asking him to do