Making a contract
Card Set Information
Making a contract
Carlill v Carbolic Smoke Ball
: intention to be legally bound
: offers made to world at large
3. acceptance by conduct
4. performance of an act as consideration
Balfour v Balfour
Cohen v Cohen
dress allowance, not legally enforceable.
Merritt v Merritt
not in amity - goodwill broken down, intend agreement to be legally binding
Ermogenous v Greek Orthodox Community of SA
intention to be legally bound - presumptions refuted.
Esso Petroleum v Commissioners of Customs and Excise
intention to be legally bound; commercial agreements
: commemorative coins, subject to purchase tax
: Did Esso have intention to be legally bound by offer to give coins to motorists who purchased petrol?
: Yes - legally binding promise, subject to purchase tax.
: commercial promotion, Esso gained.
Commercial circumstances - intention to be legally bound.
Masters v Cameron
intention to be legally bound, condition intention
: Cameron agreed to sell farm to Masters. Both parties signed written agreement,
subject to preparation of formal contract
: Cameron not intended to be bound until a formal contract prepared, signed.
Perri v Coolangatta Investments
: Perri agreed to buy property, but first needed to sell. Failed to do so within
: Breach of contract?
Only performance of contract made conditional - rather than completion of contract. Contract itself already in existence.
Thomas v Thomas
token consideration insufficient
: promise to pay $1 a year, keep house in good condition. Sufficient consideration?
Yes. Enforceable. Requirement that consideration be of
Stilk v Myrick
insufficiency of past consideration
: seamen deserted from ship, captain promise to crew to share deserters pay if they worked extra hard.
: Had crew given
for captain's promise, so to create binding contract?
: crew given nothing of value in exchange. -> no binding contract/
: when originally signed on for voyage, crew made promise to do
whatever necessary in case of emergencies
- already bound to do extra work -past consideration.
Placer Development v Commonwealth
illusion of promise
: imported timber products, "at an amount or at a rate to be determined by Commonwealth from time to time"
: Was what government said about paying subsidy legally enforceable?
: No. Not a promise at all.
: unspecified amount of money.
Partridge v Crittenden
: advertisement in newspaper. Unlawfully 'offering' wild birds for sale.
: Was advertisement offer in legal sense?
: No. Only
invitation to treat
. Buyers themselves
offer to buy advertised birds
: invitations to treat are not offers for sale.
Henthorn v Fraser
acceptance by post
: letter of acceptance posted, but whilst in transit, Fraser received higher offer.
: Had Henthorn already accepted offer?
: Yes. Effective as soon as letter of acceptance posted.
: acceptance by post need not be specifically authorised for it to be effective as soon as letter posted.
Brinkibon v Stahg Stahl und Stahlwarenhandels-gesellschaft mbH
contract; acceptance by telex
: acceptance sent by
telex in London, received in Vienna
, when did acceptance take effect?
: Took effect when telex
received in Vienna
Coulls v Bagot's Executor and Trustee
contract; formation; privity; rights of third parties
: royalities given to wife, Doris. Coulls died. Contract was not of personal nature, not terminated by death. Contract remained enforceable against estate.
: Did Doris have legally enforceable right to payment?
: No contractual obligations owed, because she was not a party to contract.
: She had
not provided any consideration
, no contractual right to sue. Royalties should be paid to estate, distributed to beneficiaries.
Price v Easton
contract; formation; privity; parties
: builder owed money to Price, did not have money. If builder did work for Easton, Easton would pay Price money. Easton failed to pay.
Price bought action against Easton.
: Was Price entitled to enforce promise?
: Price not party to agreement,
doctrine of privity,
Price did not acquire legally enforceable rights.