Constance
ASPECTS OF CONTRACT AND NEGLIGENCE FOR BUSINESS UNIT CODE: Y/601/0563By
CONSTANCE L MABIALA
LO 1
TASK 1 (approx 500 words)
Using appropriate case law identify whether all the essential elements of a contract are in place between Woohoo and PS.
Introduction
A contract is defined as ‘promises or agreements recognised by the law’. (Chen-Wishart, 2012). The role of contract law is fundamental in governing contractual relationships between parties to the extent that those who are legally bound by the terms of an agreement may fulfil those terms or be confronted with the consequences of non-fulfilment or a breach.
The law of contract mainly originates from common law, which presupposes a significant level of certainty of the law of contract. This is not to say that there cannot be cases of uncertainty at certain times, as judges may sometimes utilise their discretion in reaching individual decisions, which may contradict certain legal principles within contract law. However, contract law plays an important role in ensuring that people and businesses keep their contractual obligations to each other and in the case of a breach of contract, the parties can find a remedy in court
Contract law has also proven to be a valuable tool for the effective management of society, as perceived by Elliott and Quinn (2008, 1). It was stated that ‘it would be impossible to run a society on this basis, if contracts were not binding’. In essence contract law has provided an avenue of redress for all such persons in a contractual relationship, who may otherwise suffer loss unduly in the hands of those in breach. It is from contract law, the four essential elements of a binding contract has emerged.
Importance of the essential elements
All of these elements are import to the formation of a valid contract as if one of the elements was missing; the court can render the contract void ab initio. In order words the contract would be considered not valid from the very beginning when
CONSTANCE L MABIALA
LO 1
TASK 1 (approx 500 words)
Using appropriate case law identify whether all the essential elements of a contract are in place between Woohoo and PS.
Introduction
A contract is defined as ‘promises or agreements recognised by the law’. (Chen-Wishart, 2012). The role of contract law is fundamental in governing contractual relationships between parties to the extent that those who are legally bound by the terms of an agreement may fulfil those terms or be confronted with the consequences of non-fulfilment or a breach.
The law of contract mainly originates from common law, which presupposes a significant level of certainty of the law of contract. This is not to say that there cannot be cases of uncertainty at certain times, as judges may sometimes utilise their discretion in reaching individual decisions, which may contradict certain legal principles within contract law. However, contract law plays an important role in ensuring that people and businesses keep their contractual obligations to each other and in the case of a breach of contract, the parties can find a remedy in court
Contract law has also proven to be a valuable tool for the effective management of society, as perceived by Elliott and Quinn (2008, 1). It was stated that ‘it would be impossible to run a society on this basis, if contracts were not binding’. In essence contract law has provided an avenue of redress for all such persons in a contractual relationship, who may otherwise suffer loss unduly in the hands of those in breach. It is from contract law, the four essential elements of a binding contract has emerged.
Importance of the essential elements
All of these elements are import to the formation of a valid contract as if one of the elements was missing; the court can render the contract void ab initio. In order words the contract would be considered not valid from the very beginning when
Bibliography: Elliott, C. and Quinn, F. (2008) Contract Law, England, Pearson Education Limited. Poole, J O’Sullivan, J. and Hilliard, J. (2012) The Law of Contract, Oxford, OUP. Pollock, Principles of Contract Law (13th ed.,) p.133 Cases Spencer v Harding (1870) LR 5 CP 561 Blackpool and Fylde Aero Club Ltd v Blackpool BC (1990) Loftus v Roberts [1902] 18 TLR 532 CA Gibson v Manchester City Council [1979] 1 WLR 294, Williams v Carwardine (1833) 4 B & Ad Butler Machine Tools v Ex-Cell-O Corp (1979) 1 WLR 401, Hyde v Wrench (1840) 3 Beav 334 Brogden v Metropolitan Railway (1877) 2 App Cas 666. Currie v Misa (1875) LR 10 Ex 153 (Thomas v Thomas (1842) 2 QB 851 Tweddle v Atkinson (1861) 1 B&S 393. Chapelton v Barry UDC [1940] KB 532 Parker v South East Railway Company (1877) 2 CPD 416.Hutton v Warren (1836) 1 M & W 466 Moorcock (1889) 14 PD 64 Shirlaw v Southern Foundries [1939] 2 KB 206 Carlill v Carbolic Smoke Ball Co. [1893] 1 QB 256, Errington v Errington (1952), Blyth v Birmingham Waterworks 1856 Smith v Crossley Bros (1951) 95 SJ 655, Alcock case Short v J & W Henderson Ltd (1946) 79 Ll Lawson, R. (2011) Exclusion Clauses and Unfair Contract Terms, Netherlands, Kluwer Law International BV.