Contract Cases III

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In which case does Lord Blackburn describe the objective test for agreement - a reasonable person looking at the two parties sees an agreement..
what is this.... 'an expression of willingness to contract on specified terms, made with the intention that it shall become binding as soon as it is accepted by the person to whom
Local council offers to sell houses - man tries - council changes hands - invitation to treat
advertisements are generally invitations to treat - sale of birds...
avertisements are invitations because offeror could be liable to supply more stock than there was - potentiallly different if limited number of goods advertised
fur coats for sale - 9am - 3 coats - $ each - 'clear, definitive and explicit'
use one of these and you won't get influenza - �1000 if you do we've put �10000 in a bank account...
poisonous drugs on sale - invitation to treat - if an offer then putting something in basket a binding contract
sale of a flick-knife - invitation to treat - can be an offer, only a general rule...
bids and tenders - though it used the word offer, merely an invitation to sell the stock in trade of Messrs G Eeilbeck & Co..
flying club - put in a tender - negligent council don't check - there is an obligation to consider bids
HL don't like red letter bids - $X or $101k more than any other bid...
Which legislation dictates that auction calls are invitations, the bids offers, bang of hammer acceptance..
Auctioneer cannot back out when there is no minimum price and has promised to sell to highest bidder..
what is this... 'A willingness to contract on the exact terms put by the offeror.'
Consensus ad idim - what is this?
'Cross offers are not acceptances of each other'
Counter offer kills off the first offer..
clarification request about the terms of the offer is OK - this is not a counter-offer
in battle of the forms whose terms? - price escalation clause was 'to prevail over any terms and conditions in buyer's order..' tear off slip signed - Bridge and Lawton LJ went for
'the general rule..is that a contract is formed when acceptance of an offer is communicated by the offeree to the offeror.' - HL
Silence is not generally good communication - a horse gets auctioned accidently
'our law does in exceptional circumstances recognise acceptance of an offer by silence.'
The postal rule..
only works when acceptance by post is reasonable...
offer stipulated B had to 'give notice in writing to' - ousts the postal rule
Instant - generally only when received by offeror
'no universal rule can cover all cases... must be resolved by reference to the intentions of the parties, sound business practice and.. judgement of where the risks should lie.' (a
Death of offeror may not void the offer..
what is this.. 'a contract where the promisor binds himself to perform upon performance of a stated condition by promisee... but the promisee gives no commitment to perform.'
an example of this - you must bathe in a certain way and you won't get sick with this product...- why should not an offer be made to all the world which is to ripen into contract w
Cannot revoke unilateral after promisee starts to perform. - 'an obligation on the part of the offeror not to prevent the condition become satisfied, which obligation seems to me m
cinemas offer 10000 to agent to find purchaser for cinemas - start work - still ok to revoke - 'took the risk in the hope of a substantial remuneration for a comparitively small ex
father bought house for couple - it's yours if you pay mortgage - his personal representatives try and welch on their marker - 'it could not be revoked... once the couple entered o
Communication of revocation of unilateral should probably just go through same channel as the offer did
yacht race - glug glug glug - club rules or statute? - club rules
Long obiter about difficulty of offer and acceptance, law takes a practical approach 'often the cost of forcing the facts to fit uneasily into the marked slots of offer, acceptance
'reasonable degree of certainty' needed... 'hire terms' too vauge- 'unless this could be done consensus ad idem would be mere conjecture' Viscount Maugham
timber of 'fair specification' is OK - term of the trade
lockout agreement for photo business - owners welch on it - that's ok no time period specified
Lockout worked this time - sued for damages
preparation work before the contract started - no ccontracat here and they recovered...
but not here...
consideration... 'some right, interest... or some forbearance... suffered or undertaken by the other.' Lush LJ
Builders are not going to make the contract - no vitiating circumstances - offered more money to perform existing contract - practical benefit - consideration!
Denning J goes for it - promissory estoppel dictum
Consideration must be sufficient but need not be adequate - chocolate wrappers count
Consideration has to move from the promisee - letter to a newspaper that gave bad advice is good consideration
The two fathers contract with each other to pay the couple - A died and B wouldnt' pay - C couldn't sue... no consideration.
A promise claimed to give something up that it wasn't entitled to - not good consideration
the flip - Honduras govt owed money to C - D promised to pay if C won't sue - C had no right to sue - forbearance was still good consideration (he didn't know he had no right)
son gives up right to stop nagging Dad who agreed not to enforce a debt - administrator's enforce it - no consideration...
'it is not consideration to refrain from a course of conduct which it was never intended to pursue
Wife does repairs on mother-in-law's house - siblings agree to pay - they fail to do so. no consideration - past
Guardian cannot sue a new husband for his wife's education... past consideration.
Ride to London and obtain my pardon - done - great i'll give you 100 - fails to - OK!
You have managed so well you'll get a third share of profits - fail to pay...- Remuneration was implicit and performance was requested...
X asked Y not to sell shares and would indemnify losses - enforceable promise- i) act at promisor's request ii) remuneration expected iii) no public policy clash
Subpoena'd to give evidence - alleged that D promised to pay losses - pre-existing legal duty
police at a mine - go above and beyond the call of duty
father pays mother to keep child well looked after and happy...- Consideration/practical benefit different approaches from judges..
'a promise to perform an existing duty is... sufficient consideration to support a promise... so long as no public interest' to contrary - Denning goes for it agian..
pre-existing obligation owed under contract to third party can be good consideration... Coal delivery
'an agreement to do an act which the promisor is under an existing obligation to a third party... may quite well amount to valid consideration... the promisee obtains the benefit o
sailors already promised 'to do all that they could under all the emergencies of the voyage' Lord Ellenborough
Extra money for the same building contract... good consideration
economic duress is not cool - 'consent was induced by pressure exercised... which the law dos not regard as legitimate'
Cigarettes delivered to wrong warehouse - stolen - bona fide belief they were at CTN's risk - threatened withdrawal of credit facilities - OK
Run-up to Christmas - undercuts rival bids to be the distributor - then promise extracted in run up to Christmas - ICP
'Payment of a lesser sum on the day of satisfaction cannot be any satisfaction for the whole debt.'
Mrs wants the interest of the Dr - she can go back on her subsequent promise.
Gibson J has to find that paying less tax to IRC cannot be good consideration - cannot go against HL authority
Estoppel used to be only a backward looking remedy - Mrs led her divorcee to believe that she would not enforce a debt...
Denning claims that HL forgot this case in the above despite being only 7 years earlier... in negotiating period C is led to believe rights won't be enforced against him
Denning goes for it in this case - judgement ex tempore
'consideration remains a necessity for formation of a contract but not its modification or discharge'
There is no estoppel on the basis of reasonable expectations of continued trading relationships...
Lady has the builders over a barrel (as it were) - Duress - they can go back on their word
Reliance yes, but detriment is not necessary for promissory estoppel to function..
'it is no answer for the maker of the promise to say: 'you would not have gone ahead with the transaction anyway'. that must be mere speculation
Unclear whether detriment is needed or not - courts should have discretion
Estoppel suspends rights - can be enforced again if enough warning is given
Estoppel is a shield not a sword - 'does not create new cause of action' - woman cannot demand payment.
'there are estoppels and estoppels... some do give rise to a course of action, some do not.' Denning J
Australian case where they have gone much further than us... C demolishes their building expecting D to buy the plot... D are estopped from pulling out of negotiations.
Consideration is a signal that shows that parties intend to be bound, not an end in itself... Where parties who have already made such intention clear by entering into legal relati
Domestic cases do not normally intend to create legal relations... 'each house is a domain into which the King's writ does not run.'
'Although many agreements between husbands and wives were not intended to be legally binding, the performance of these agreements might give rise to legal consequences.'
Commercially though... 'The onus is on the party who asserts that no legal effect was intended, and the onus is a heavy one.'
Creditors come after a man who with two property development partners took out a loan - they agreed to jointly pay firm's debts - bankrupt - he agreed with creditors to pay his deb

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