- •Introduction 8
- •Introduction 11
- •Introduction 15
- •Introduction
- •Explanation of the importance of the essential elements required for the formation of a valid contract
- •What is contract?
- •What are the main parts of a valid contract?
- •Agreement
- •Consideration
- •Intention
- •Capacity
- •Discussion about the impact of different types of contract Classification of contracts
- •The impact of different types of contract
- •1.3 Analysis of terms in contracts with reference to their meaning and effect Express and implied terms
- •Conditions and warranties, innominate terms
- •Exclusion clauses and onerous terms
- •Case of Mr b and Mr c jr
- •Case of Mr d, Mr a, Mr b and Miss e
- •Case of Mr a, Professor f and Doctor g
- •Case of father of Mr c jr, Mr c and Mr b
- •Case of Mr a and Miss e
- •2.2 Applying the law on terms in different contracts
- •Case of salesman from Tills Ltd - Mr h and Mr a
- •Case of Mr a and Mr I
- •2.3 Evaluating the effect of different terms and conditions Case of Mr a and Tills Ltd
- •Case of Mr a and Tills Ltd, PayPal
- •Conclusion
- •Introduction
- •3.1 Contrasting liability in tort with contractual liability
- •Types of tort
- •3.2 Explanation of the nature of liability in negligence
- •3.2.1 Owed a duty of care
- •Duty of care for economic loss
- •Continued occupiers liability
- •3.2.2 Breach of duty of care
- •Continued principles affecting standard of care
- •Defences
- •3.3 Explanation how a business can be vicariously liable
- •Case of Mrs y and Miss z
- •Case of Mr w and Miss z
- •Case of Mr V and Miss z
- •Case of Miss z, stu advertising agency and pqr
- •Case of pqr and Miss z
- •4.2 Applying the elements of vicarious liability
- •Case of Mr o, Mr n, Mr m and Miss z
- •Case of Mr o, Miss z and Mr l
- •Case of Mr o, Mr k and Miss z
- •Conclusion
1.3 Analysis of terms in contracts with reference to their meaning and effect Express and implied terms
|
Express terms |
Implied terms |
Meaning |
An express term is a term expressly agreed by the parties to contract to be a term of that contract. |
Implied tern is a term deemed to form part of a contract even though not expressly mentioned. |
Effect |
Express terms cannot over side terms implied by the statute. However, express terms can over side terms implied by custom. |
Terms implied by the statute ‘Sale of Goods Act 1979’. They protect you and cannot be taken away. Terms implied by custom – the way it is always done. |
Conditions and warranties, innominate terms
|
Conditions |
Warranties |
Innominate terms |
Meaning |
A term which is vital to the contract, going to the root of the contract.
|
It is a less important term, which does not go to the root of the contract, but is subsidiary to the main purpose of the agreement. |
Term which is not clearly a condition or a warranty. |
Effect |
Breach of a condition entitles the party not in breach to treat the contract as discharged and to claim damages. e.g Poussard v Spiers 1876 |
One party breaching a warranty is that the other party can claim damages but cannot terminate the contract. e.g Bettini v Gye 1876 |
Where is not clear what the effect of breach of the term was intended to be, it will be classified by the court as innominate term. e.g Hong Kong Fir Sipping Co Ltd v Kawasaki Kisa Kaisha Ltd 1962 |
Exclusion clauses and onerous terms
|
Exclusion clauses |
Onerous terms |
Meaning |
An exclusion clause is a term in a contract which limits or purports to limit liability in case of a problem. |
Heavy terms, for example penalty clauses. |
Effect |
It is only valid if it is incorporated into the contract. e.g. Olley v Marlborough Court 1949 |
To be valid these must be made clear. e.g Interfoto v Stilletto |
Conclusion
In this paper I have explained the importance of the essential elements required for the formation of a valid contract, discussed the impact of different types of contract and analyzed terms in contracts with reference to their meaning and effect.
Introduction
In this paper I will apply the elements of contract in given business situations, apply the law on terms in different contracts and evaluate the effect of different terms.
2.1 Applying the elements of contract in given business situations
According to elements of contract I will explain if there is a contact, how the law applies, can someone sue in scenario 1.
Case of Mr A and Mr B
The offer to sell a book for £1,150 by Mr B cannot be an offer because it is an invitation to treat. It can seem that Mr A and Mr A made a contract when one called another. To make a contract there must be 4 elements: agreement, consideration, intention and capacity. They both have capacity because they are adults, they both have an intention to create legal relation in this commercial case, and, moreover, they made a verbal agreement not to sell the book to anyone else until Mr A phones him back in three days with a new offer. But it is not an agreement to make a contract; Mr B just set a condition. So they have a condition, capacity and intention. Is it not a contract? Well, it might be an oral contract that involves a promise by one party and an act by the other party. A promise was from Mr B to keep the book and the act from Mr A to call back in three days.