Does_the_Doctrine_of_Promissory_Estoppel_Alleviate_the_Unfair_Effect_of_Consideration-libre
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Contract Law
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Contract law is a law which regulates the commercial world by enforcing contracts.1 Contracts allow consistency and also certainty in business transactions which in turn increases business efficiency. This is because a contract sets down clearly the obligations and rights of each party in an agreement, hence making sure that the parties are aware of their individual responsibilities before and after consensus ad idem or in other words the meeting of the minds principle.2 Based on
entering an agreement. This also forms the basis of contract which is the principle of
this principle, parties of a contract must have mutually agreed on all the terms in the
agreement. The agreement may be made void if such mutuality is found to be absent.3 After understanding the purpose of contract law, we will now question the requirements for a contract to be made enforceable. In the case of New Zealand
Shipping Co Ltd v A M Satterthwaite & Co Ltd4 (more commonly known as The
Eurymedon), Lord Wilberforce states that in order for a contract to be enforceable, a few elements have to be satisfied. These elements include offer, acceptance and consideration.5 Offer here is the expression of willingness to contract whereas acceptance is the unqualified assent to the terms of the offer (consideration will be discussed in the next paragraph). These elements must be accompanied with no
1
——, Co tra t La Defi itio accessed 29 December 2011.
2
Gerald N. Hill & Kathlee T. Hill, Meeti g of the Mi ds accessed 29 December 2011.
3
——, Co se sus Ad Ide - U fair Co tra t a d S a s accessed 29 December 2011.
4
New Zealand Shipping Co Ltd v A M Satterthwaite & Co Ltd [1975] AC 154
5
——, I trodu tio to Busi ess La accessed 29 December 2011.
Ng Cin Yan
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Ng Cin Yan
Contract Law
Ng Cin Yan
vitiating factors (ie: mistake, misrepresentation, duress) because such factors may
Contract Law
Ng Cin Yan
Contract law is a law which regulates the commercial world by enforcing contracts.1 Contracts allow consistency and also certainty in business transactions which in turn increases business efficiency. This is because a contract sets down clearly the obligations and rights of each party in an agreement, hence making sure that the parties are aware of their individual responsibilities before and after consensus ad idem or in other words the meeting of the minds principle.2 Based on
entering an agreement. This also forms the basis of contract which is the principle of
this principle, parties of a contract must have mutually agreed on all the terms in the
agreement. The agreement may be made void if such mutuality is found to be absent.3 After understanding the purpose of contract law, we will now question the requirements for a contract to be made enforceable. In the case of New Zealand
Shipping Co Ltd v A M Satterthwaite & Co Ltd4 (more commonly known as The
Eurymedon), Lord Wilberforce states that in order for a contract to be enforceable, a few elements have to be satisfied. These elements include offer, acceptance and consideration.5 Offer here is the expression of willingness to contract whereas acceptance is the unqualified assent to the terms of the offer (consideration will be discussed in the next paragraph). These elements must be accompanied with no
1
——, Co tra t La Defi itio accessed 29 December 2011.
2
Gerald N. Hill & Kathlee T. Hill, Meeti g of the Mi ds accessed 29 December 2011.
3
——, Co se sus Ad Ide - U fair Co tra t a d S a s accessed 29 December 2011.
4
New Zealand Shipping Co Ltd v A M Satterthwaite & Co Ltd [1975] AC 154
5
——, I trodu tio to Busi ess La accessed 29 December 2011.
Ng Cin Yan
Page 1 of 15
Ng Cin Yan
Ng Cin Yan
Contract Law
Ng Cin Yan
vitiating factors (ie: mistake, misrepresentation, duress) because such factors may
Bibliography: 2. Mindy Chen- Wishart, Contract Law, Oxford University Press, 2005 3 University Press, 2010 4 (1997) 113 LQR 433 Electronic Sources 6. Hughes v Metropolitan Railway Co (1877) 2 AC 439 7 12. Walton Stores (Interstate) Ltd v Maher (1988) 76 ALR 513 Ng Cin Yan