- •1 The concept of promise
- •1. What is a promise?
- •(a) A definition of promise
- •(b) Promise: objectively existing phenomenon or human construction?
- •(c) Testing component elements of the definition of promise
- •(i) A promise is more than merely an internal mental process: promises as speech acts demonstrating commitment
- •(ii) A promise is a commitment to a performance of the promisor
- •(iv) A promise must relate to the future
- •(v) A promise must state a commitment in favour of another party
- •(vi) Things which are not components of the definition
- •2. Three crucial qualities of relevance to promises: gratuitousness, conditionality, unilaterality
- •(a) Gratuitousness
- •(b) Conditionality
- •(c) Unilaterality
- •3. Acts having some similarity to, but which are distinct from, promises
- •(a) Vows
- •(b) Oaths
- •(c) Threats
- •(d) Donation (gift)
- •(e) Warranties (guarantees)
- •(f) Agreement
- •4. Promise as a culturally universal and significant idea
- •5. Preliminary conclusions
- •2 Promises as obligations: morality and law
- •1. Introduction: promise as a type of obligation
- •2. Taxonomies of obligations in morality and law
- •3. Promises as moral obligations: the practice of promising
- •(a) Promising as moral, immoral, or amoral?
- •(b) Source of the morality of the practice of promising
- •(i) Promising as a virtuous act; the natural law tradition
- •Scripture
- •The canon law
- •Objections to the morality of promising as having a natural law/virtue basis
- •(ii) Promising as an act of the will: respect for personal autonomy
- •(iii) The ‘contract theory’ of promising
- •(iv) Consequentialism (utilitarianism)
- •(v) Reliance theory
- •A more limited role for reliance
- •(vi) Conclusion on the competing theories of the moral value of promises
- •4. Powers and sanctions relevant to breach of morally binding promises
- •3 The historical development of promissory ideas in the law
- •1. Roman law
- •(a) Formal contracts: the stipulatio
- •(b) Informal contracts
- •(c) Conclusion on Roman law
- •2. Medieval contract law
- •(a) Continental legal thought
- •(b) English law
- •(i) Debt
- •(ii) Covenant
- •(iii) Unilaterality and bilaterality in early English contract law
- •(iv) Assumpsit
- •(v) The doctrine of consideration
- •3. The Northern natural law school
- •(a) Hugo Grotius
- •(b) Samuel von Pufendorf
- •(c) James Dalrymple (Viscount Stair)
- •4. Eighteenth and nineteenth centuries
- •(a) English law
- •(b) Scots law
- •(c) Civilian systems
- •(i) German law
- •(ii) Robert Pothier
- •5. Contract theory and practice in the twentieth century
- •6. A revitalised will theory
- •4 Formation of contract
- •1. Wasted pre-contractual expenditure following termination of contract negotiations
- •(a) A Common law solution to the problem of pre-contractual expenditure: promissory and proprietary estoppel
- •(i) Promissory estoppel: promissory or reliance-based principle?
- •(ii) Promissory estoppel and failed contractual negotiations
- •(iii) Proprietary estoppel and failed contractual negotiations
- •(iv) Conclusion on estoppel and pre-contractual expenditure
- •(b) A civilian solution to wasted pre-contractual expenditure: culpa in contrahendo and bad faith termination of contractual negotiations
- •(c) A mixed legal system solution to wasted pre-contractual expenditure: liability from an implied assurance that a valid contract exists
- •(d) Other solutions to the problem of pre-contractual liability
- •(e) Conclusion on pre-contractual liability
- •2. Pre-contractual duties of disclosure
- •3. Offer and acceptance
- •(a) Offer and acceptance as conditional promise
- •(b) The traditional offer and acceptance model as a unilateral dictation of terms
- •(c) Distinguishing offer from conditional promise
- •(d) Problem cases for a promissory analysis of offer and acceptance
- •(e) Conceiving of offers as binding
- •4. Enforcement of auction/tender conditions
- •5. The firm or irrevocable offer
- •(a) Characterising the firm offer
- •(b) Promises of reward
- •6. Options
- •7. Letters of intent and preliminary contracts
- •(a) An intent to contract
- •(b) A preliminary contract, envisaging a further contract
- •(c) An expectation of a formal contract
- •(d) An expression of intention to do something other than contract
- •(e) A genuine unilateral promissory intention
- •8. Error in formation of contract
- •(a) Choosing the policies which inform the rules on error
- •(b) Constructing workable classifications which implement the policies chosen
- •(i) Roman Law
- •(ii) The Common law
- •(iii) The mixed legal systems
- •(iv) German law
- •(v) An ideal approach to promissory error?
- •9. Extortion in the formation of contract
- •(a) English law
- •(b) The mixed legal systems
- •(c) German law
- •(d) Conclusion on extortion
- •10. Implied terms
- •11. Consideration
- •(a) The Common law
- •(b) The mixed legal systems
- •(c) German law
- •(d) Model law
- •12. Requirements of form: unwarranted restrictions on promising?
- •5 Third party rights
- •1. The challenge to third party rights in contract
- •2. The historical legal background
- •3. Third party rights in modern contract law
- •(a) The Common law
- •(b) The mixed legal systems
- •(c) German law
- •(d) Model law
- •(e) Conclusion on third party rights under contract
- •4. Assignment
- •(a) English law
- •(b) The mixed legal systems
- •(c) German law
- •(d) Model law
- •5. The problem of transferred loss
- •(a) English law
- •(b) The mixed legal systems
- •(c) German law
- •6. Conclusion on third parties
- •6 Contractual remedies
- •1. The ‘interests’ protected by remedies
- •2. Mutuality of promises and withholding of performance
- •(a) The Common law
- •(b) Mixed legal systems
- •(c) German law
- •(d) Model law
- •3. Specific performance
- •(a) English law
- •(b) Mixed legal systems
- •(c) German law
- •(d) Model law
- •4. Perfect or substantial performance of contractual promises
- •(a) Contracts for services
- •(b) Sales of goods
- •5. Injunction (interdict)
- •6. Damages
- •(a) Contractual damages and interests other than the performance interest
- •(b) Damages for mere breach of contract, or for fault?
- •(c) English law
- •(d) Mixed legal systems
- •(e) German law
- •(f) Model law
- •7. Liquidated damages: penalty clauses
- •(a) English law
- •(b) Mixed legal systems
- •(c) German law
- •(d) Model law
- •8. Termination of contract for non-performance
- •(a) Historical origins of the right to terminate
- •(b) English law
- •(c) Mixed legal systems
- •(d) German law
- •(e) Model law
- •9. Restitution following termination for non-performance
- •(a) English law
- •(b) Mixed legal systems
- •(c) German law
- •(d) Model law
- •10. Good faith and contractual remedies
- •7 The renunciation of contractual rights
- •1. Terminology
- •2. Bilateral or unilateral renunciations
- •3. Characterising undertakings not to enforce contractual rights
- •4. Express contractual or promissory renunciation of rights
- •(a) The Common law
- •(b) Mixed legal systems
- •(c) German law
- •5. Forbearance, promissory estoppel and personal bar
- •(a) The Common law
- •(i) Forbearance at common law
- •(ii) Forbearance in equity: promissory estoppel in English law
- •(iii) Promissory estoppel in American Common law
- •(iv) Conclusion on promissory estoppel in the Common law
- •(b) Mixed legal systems
- •(i) South Africa
- •(ii) Louisiana
- •(iii) Scotland
- •(c) German law
- •6. Model Law and renunciations of rights
- •8 The future of promise in contract law
- •1. The restricted role of promise in the modern law
- •2. Future possible development of the law
- •(a) General remarks
- •(b) The Common law
- •(c) The mixed legal systems
- •(d) German law
- •(e) The development of supranational model law
- •3. Conclusion on the future of promise
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that, where reliance liability has a residual, secondary role to play, strict control has to be kept over the limits of such liability, or else it has the potential to undermine the primacy given to declarations of parties’ wills.
(vi) Conclusion on the competing theories of the moral value of promises
The above discussion of different theories of the source of the morally obligatory force of promises discloses a preference for theories which emphasise the inherent, objective morality of the act of promising, over those which concentrate merely on the subjective effects of promising in specific circumstances. The latter have been characterised as productive of uncertain effects and as failing sufficiently to emphasise personal autonomy and responsibility. Though natural law theories have been largely supplanted by will theories, it would be possible to provide a justification for the moral value of promises which combined both approaches. One might, in natural law fashion, recognise human beings as predisposed by nature to promise, but also say, in will theorist fashion, that we only respect human beings as free, autonomous individuals if we respect the promises they choose to make.
Such theoretical preferences are, however, of secondary importance to an historical narrative of the rise of promissory ideas in the law. Therefore, in the next chapter the history of promising as a legal institution will be traced, in order to explain which theories of the value of promise influenced the development of the law. As will be seen, moral theories of the binding nature of promises were to have a profound impact upon the legal force of the promise in the Western legal tradition.
4. Powers and sanctions relevant to breach of morally binding promises
Where promises have legal force, then of course legal remedies exist to enforce such promises and legal sanctions apply to the breaking of such promises. But what of breach of promises which are not recognised as having legal effect: how are such purely moral promises regulated?
Evidently such regulation has to be by non-legal means. That would seem to suggest that, for instance, compulsion by the promisee of the promised performance cannot be procured, as non-legal compulsion would lack a lawful basis. Some might argue that, in any event, it is always immoral to compel a promisor to do something, though such an approach
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would suggest that legal remedies such as specific performance must be immoral, a view evidently not shared by the law.141
A number of non-legal, regulatory methods might conceivably be employed in cases of breach of promise. The promise breaker might, for instance, suffer social exclusion, that is to say he might be shunned by associates and friends for his faithlessness, or might suffer social pressure to make reparation for the breach of promise. A party who, for instance, breaks off a promise to marry, though he can no longer be subject to a civil legal claim for breach of contract as was once the case, is still likely to suffer social stigma unless the breach of promise occurs for very good reason, and he might be expected by his peer group to repair any harm he has done through his breach of promise. Alternatively, a promise breaker might suffer adverse economic consequences. For instance, a commercial party which has strung another along into thinking that a contract was on the verge of being concluded, only to pull out without stating any good reason, might find that, even if it is not able to be sued at law, its reputation is badly damaged, with a consequent drop-off in business. Such possible social or economic effects of breach of morally binding promises are, however, somewhat hard to assess, and tend to be anecdotal. Additionally, an individual promise breaker might conceivably be a member of a group which enforces adherence to moral obligations through its own structures, such as a religious group or other unincorporated association. In such cases, breach of a morally binding promise might render the promisor liable to sanctions under the rules of the group concerned. Such cases are of interest in that they lie at the interface between law and morality, given that, though the group concerned may be entitled under its own rules to enforce penalties against the promisor in default, its decision might be justiciable before a civil court if its own procedures are not properly followed or if application of those procedures is held to amount to a breach of natural justice or some constitutionally guaranteed right.
At the divide between morality and law, sometimes a promise which appears at first examination to be binding only morally, as for instance one made within a religious context, may in fact be deemed by the courts also to have civil legal effect. A good example of such a promise is seen in the facts of the Canadian Supreme Court case Bruker v. Marcovitz.142
141See on this question Gilbert, ‘Scanlon on Promissory Obligation’. Hart’s view was that coercive force in implementation of moral rights is not improper, and may be justified: see Hart, ‘Are There Any Natural Rights?’.
142[2007] 3 SCR 607.
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The case concerned a promise made by a Jewish man to his wife to facilitate a get (a divorce under Jewish law) as soon as their civil divorce had been obtained. Despite the promise, and following the civil divorce, the man consistently refused to agree to the get for fifteen years. The woman eventually sued in the civil courts of Quebec for breach of contract. The man denied that his undertaking was intended to have civil legal effect. The wife won at first instance, but on appeal the court held that, because ‘the substance of the … obligation [was] religious in nature’, the obligation was a moral one and thus unenforceable by the courts.143 On further appeal to the Supreme Court the decision of the appeal court was overturned, it being held that an agreement between spouses to take the necessary steps to permit each other to remarry in accordance with their own religion constituted a valid and binding contractual obligation under Quebec law.144 Abella J, for the majority, noted that whilst Quebec law distinguishes between moral and civil obligations, and that it ‘is true that a party cannot be compelled to execute a moral duty … there is nothing in the Civil Code preventing someone from transforming his or her moral obligations into legally valid and binding ones’.145 The decision is a valuable reminder not only that many civil legal obligations have a moral basis, but also that such moral character is no bar to a promise also having legal effect. The question of whether a morally binding promise is also intended to be clothed with legal effect is a matter of the context of the promise and thus ultimately of the intention of the party or parties concerned.
143 |
Abella J, para. 36 (quoting from the Appeal Court judgment of Hilton JA, para. 76). |
144 |
Abella J, para. 16. 145 Abella J, para. 51. |
