Private law contract week 1 - 3
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Questions and Answers

What does the Court emphasize as essential for a commercial contract?

  • What the parties think in their minds
  • What the parties intended to say
  • What is discussed in negotiations
  • What has actually been said (correct)

In the case of Mathieson Gee (Ayrshire) LTD v Quigley, was there a contract based on the offer and acceptance?

  • No, there was no consensus reached (correct)
  • Yes, the acceptance was valid
  • Yes, both parties agreed to all terms
  • No, the offeror did not provide the goods

What statement constitutes an offer according to the definition provided?

  • A request for potential buyers to make an offer
  • A statement with clear terms indicating intention to be bound (correct)
  • An advertisement for products
  • A statement indicating a willingness to negotiate

Which of the following is an example of an invitation to treat?

<p>An advertisement for a product (C)</p> Signup and view all the answers

Who is referred to as the offeror in a contract?

<p>The party making the offer (A)</p> Signup and view all the answers

Which of the following best describes the principle of consideration in a contract?

<p>A value exchanged that creates a binding obligation (D)</p> Signup and view all the answers

What happens if there is performance after a lack of clear consent between parties?

<p>It may change the outcome regarding contract existence (A)</p> Signup and view all the answers

What is the initial step in the formation of a contract following an invitation to treat?

<p>Response as an offer (A)</p> Signup and view all the answers

What did Viscount Stair affirm about offers in contracts?

<p>An offer accepted is a contract (C)</p> Signup and view all the answers

In the case of Boots, what legally constituted the offer in their self-service sales?

<p>The act of selecting a product (A)</p> Signup and view all the answers

Which of the following statements accurately reflects the effect of a counter-offer?

<p>It nullifies the original offer (D)</p> Signup and view all the answers

At what point does an offer lapse?

<p>When it is rejected or not accepted in time (A)</p> Signup and view all the answers

What must occur for acceptance to convert an offer into a contract?

<p>Acceptance must conform to the offer's terms (A)</p> Signup and view all the answers

Which of the following correctly describes the ability to contract?

<p>Capacity involves being legally able to understand the contract (C)</p> Signup and view all the answers

In the Carlill v Carbolic Smokeball Co case, what was a critical element in establishing the offer?

<p>The advertisement's clarity and intent (C)</p> Signup and view all the answers

Why can silence not be considered as acceptance in a contract?

<p>It does not fulfill the need for mutual agreement (B)</p> Signup and view all the answers

Which element is essential for the conclusion of a contract?

<p>Mutual agreement on the terms (A)</p> Signup and view all the answers

What constitutes an offer in contract law?

<p>A firm proposal for a contract that is intended to be legally binding (A)</p> Signup and view all the answers

In the context of contract law, consideration refers to:

<p>The price or benefit exchanged between parties (C)</p> Signup and view all the answers

Which party is referred to as the pursuer in a contractual dispute?

<p>The party seeking damages (D)</p> Signup and view all the answers

What does the term 'capacity to contract' refer to?

<p>The legal ability of individuals or entities to enter into contracts (B)</p> Signup and view all the answers

In Frederic's case, did a contract conclude when Adham posted the money?

<p>Yes, as consideration was provided in the form of money (C)</p> Signup and view all the answers

What is a breach of contract?

<p>Failure to perform any term of a contract without a legitimate legal excuse (A)</p> Signup and view all the answers

How do courts typically determine consensus in a contract?

<p>Objectively, focusing on the conduct and statements of the parties (B)</p> Signup and view all the answers

What is one of the primary functions of contract law?

<p>To facilitate trade and underpin transactions (D)</p> Signup and view all the answers

Which principle is unique to Scots law in contrast to English law?

<p>The doctrine of promise (A)</p> Signup and view all the answers

What types of contracts does Scots law specifically address?

<p>Contracts for goods, services, land, and employment (D)</p> Signup and view all the answers

What question should be asked to assess contract enforceability?

<p>Can the parties to the contract legally accept the terms? (A)</p> Signup and view all the answers

What are the principal remedies in contract law?

<p>Specific performance, damages, and interdicts (B)</p> Signup and view all the answers

What is the primary function of private law?

<p>To uphold rights and enforce duties (B)</p> Signup and view all the answers

What are the four categories of private law?

<p>Persons, Properties, Obligations, Actions (A)</p> Signup and view all the answers

In the context of private law, what are 'obligations' primarily concerned with?

<p>Rights against other persons (B)</p> Signup and view all the answers

What role does private law serve in relation to civil courts?

<p>To provide remedies when duties have been breached (B)</p> Signup and view all the answers

What enhances the ability of rights to be vindicated under private law?

<p>Court orders providing remedies (A)</p> Signup and view all the answers

Which of the following is a key focus of the module introduced in this context?

<p>Scots Private Law (C)</p> Signup and view all the answers

Which of the following best describes the term 'persons' in the context of private law?

<p>Legal entities recognized for rights and duties (B)</p> Signup and view all the answers

What is an essential outcome when the duties enforced by private law are breached?

<p>A court remedy may be awarded (D)</p> Signup and view all the answers

What distinguishes voluntary obligations from involuntary obligations?

<p>Voluntary obligations arise from contract or promise. (C)</p> Signup and view all the answers

Which of the following best describes the obligation in a delict?

<p>The obligation is to make reparation for harm wrongfully caused. (B)</p> Signup and view all the answers

In the context of unjustified enrichment, what is typically required of the obligated party?

<p>To restore any benefits received without justification. (C)</p> Signup and view all the answers

What accurately describes the relationship of rights and duties in obligations?

<p>Both parties hold corresponding rights and duties. (B)</p> Signup and view all the answers

What is a common feature of personal rights recognized in Scots law?

<p>They allow individuals to claim for duties owed to them. (A)</p> Signup and view all the answers

Which of the following obligations is NOT a characteristic of a promise?

<p>The obligation must carry a legal penalty for non-fulfillment. (C)</p> Signup and view all the answers

What is true about negative marking in assessments?

<p>It ensures that guessing does not benefit students. (B)</p> Signup and view all the answers

What is essential for a unilateral obligation to exist?

<p>The obligation can arise solely from one party's action. (D)</p> Signup and view all the answers

Which of the following best defines an enforceable contract?

<p>A contract that has been clearly settled between the parties (C)</p> Signup and view all the answers

What does the phrase 'agreements to agree' imply in contract law?

<p>They are not enforceable by law (C)</p> Signup and view all the answers

Which of the following statements about incomplete agreements is true?

<p>An enforceable contract must be reasonably definite (C)</p> Signup and view all the answers

What is a conditional agreement in the context of contract law?

<p>A contract that depends on an uncertain future event (A)</p> Signup and view all the answers

What constitutes a reasonable definiteness in a contract?

<p>Clarity on all essential contractual terms (C)</p> Signup and view all the answers

What can be considered a valid contract in the context of price determination?

<p>A term determined by an open market value assessment (A), An agreement without any explicit price requirements (D)</p> Signup and view all the answers

Which of the following statements accurately reflects the legal intention required for creating a contract?

<p>Both parties must intend to create legal obligations for a contract (A)</p> Signup and view all the answers

What is implied when there is dissensus on price in a contract?

<p>The courts may imply a term for reasonable payment during work execution (D)</p> Signup and view all the answers

Which outcome is likely when a contract specifies that price is not an essential term?

<p>The contract remains valid and binding despite price uncertainty (A)</p> Signup and view all the answers

What is a significant factor in determining if an agreement is legally binding?

<p>The patrimonial interest of the parties involved (B)</p> Signup and view all the answers

Which of the following describes a situation where a social agreement is not legally binding?

<p>Balfour v Balfour (C)</p> Signup and view all the answers

Under what condition is a written document required for the constitution of certain contracts according to the Requirements of Writing (Scotland) Act 1995?

<p>If the contract involves a unilateral obligation in the course of business (C)</p> Signup and view all the answers

What is a characteristic of a suspensive obligation?

<p>Due once a certain event has occurred (C)</p> Signup and view all the answers

In the context of formalities under the Requirements of Writing (Scotland) Act 1995, what must happen for an unwritten contract regarding land to be enforced?

<p>One party must act in reliance on the contract with knowledge of the other party's consent (D)</p> Signup and view all the answers

Which of the following cases involved a commercial agreement with the determination of there being no contract?

<p>Rose and Frank Co v JR Crompton &amp; Bros Ltd (A)</p> Signup and view all the answers

Which term best describes obligations that are due only upon the occurrence of a certain event?

<p>Contingent obligations (B)</p> Signup and view all the answers

What is required under S.1(2) of the Requirements of Writing (Scotland) Act 1995 for a contract involving land?

<p>It must be written and comply with specific conditions (D)</p> Signup and view all the answers

Which of the following best defines a resolutive obligation?

<p>Obligation that ends once an unforeseeable event occurs (C)</p> Signup and view all the answers

In the case of Philp & Co v Knoblauch, what was the main contention regarding the existence of a contract?

<p>K was merely inviting interest rather than making a firm offer. (B)</p> Signup and view all the answers

What legal issue was raised in Partridge v Crittenden regarding advertising birds for sale?

<p>The sale was not permissible under wildlife protection laws. (C)</p> Signup and view all the answers

What was significant about the advertisement in Carlill v Carbolic Smokeball Co?

<p>It specified the conditions for claiming the reward. (D)</p> Signup and view all the answers

In Fisher v Bell, what was the legal implication of displaying a flick knife for sale?

<p>It was an invitation to treat but led to prosecution. (C)</p> Signup and view all the answers

What did the court determine about the sale in Pharmaceutical Society of GB v Boots Cash?

<p>The sale was completed before the customer reached the cashier. (B)</p> Signup and view all the answers

How did the court view the communication from K in Philp & Co v Knoblauch regarding the offer of linseed?

<p>As a mere invitation to treat. (B)</p> Signup and view all the answers

In the case of Carlill v Carbolic Smokeball Co, what defense did the company offer against the claim?

<p>The advertisement was merely a joke. (C)</p> Signup and view all the answers

Why was the case of Partridge v Crittenden factored into wildlife protection legislation?

<p>It showcased the responsibilities of sellers in wildlife markets. (B)</p> Signup and view all the answers

What was the primary issue in the case of Harvey v Facey?

<p>Whether a reply constitutes acceptance (C)</p> Signup and view all the answers

In McArthur v Lawson, what was significant about the employer's offer of partnership?

<p>It explicitly stated a timeline for the offer (C)</p> Signup and view all the answers

What can be inferred from the case of Wolf & Wolf v Forfar Potato Co regarding acceptance?

<p>Acceptance must be made before the offer's deadline (A)</p> Signup and view all the answers

What does the term 'lapse of an offer' generally signify in a legal context?

<p>A situation where an offer is no longer valid (B)</p> Signup and view all the answers

In Chwee Kin Keong v Digilandmall.com Pte Ltd, what was the primary legal issue that arose?

<p>Whether the mistake regarding price was a valid defense (C)</p> Signup and view all the answers

In Wylie & Lochead v McElroy & Sons, what was deemed a 'reasonable time' concerning an offer?

<p>Based on prevailing industry standards (A)</p> Signup and view all the answers

What principle regarding counter-offers can be inferred from the case of Wolf & Wolf v Forfar Potato Co?

<p>A counter-offer invalidates the original offer (C)</p> Signup and view all the answers

What was the outcome when Wylie & Lochead waited five weeks to accept the offer?

<p>The offer was deemed lapsed by the court (B)</p> Signup and view all the answers

What type of agreement is considered unenforceable based on its nature?

<p>Agreements to agree (B)</p> Signup and view all the answers

Which of the following is NOT a factor to consider when determining if a contract is enforceable?

<p>Enforceability under public law (C)</p> Signup and view all the answers

What did Lord Dunedin emphasize regarding the completeness of a contract?

<p>There must be a concluded bargain that addresses all essential terms (A)</p> Signup and view all the answers

In the context of a contract, what is essential to ensure reasonable definiteness?

<p>Agreement on essential terms that do not depend on further negotiation (A)</p> Signup and view all the answers

Which case illustrates the principle that agreements must be reasonably definite?

<p>May &amp; Butcher Ltd v The King (B)</p> Signup and view all the answers

Which case exemplifies a term determined by arbitration in contract law?

<p>Foley v Classique Coaches (D)</p> Signup and view all the answers

What happens when there is dissensus on price in a contract?

<p>The courts can imply a term for reasonable payment. (D)</p> Signup and view all the answers

Which statement accurately describes the legal intent necessary for a contract?

<p>Parties must intend to be legally bound for a contract to exist. (C)</p> Signup and view all the answers

In which scenario can a contract still be valid despite dissent on price?

<p>There is an agreement that price is not essential. (C)</p> Signup and view all the answers

What is a key factor in differentiating social agreements from commercial agreements?

<p>Social agreements typically do not create legal obligations. (C)</p> Signup and view all the answers

Which type of agreement demonstrated in Balfour v Balfour is considered not legally binding?

<p>Social agreement (A)</p> Signup and view all the answers

In which case was a unilateral obligation required to be in writing under the Requirements of Writing (Scotland) Act 1995?

<p>Robertson v Anderson (C)</p> Signup and view all the answers

Which description fits 'suspensive obligations' in contract law?

<p>Obligations that are contingent upon an uncertain event occurring (A)</p> Signup and view all the answers

What must happen for an unwritten contract for an interest in land to be binding according to S.1(3) of the Requirements of Writing (Scotland) Act 1995?

<p>One party must have acted in reliance on the contract (D)</p> Signup and view all the answers

Which statement about contingent obligations is true?

<p>They may lead to obligations depending on uncertain events (A)</p> Signup and view all the answers

What is a significant requirement for the creation of a gratuitous unilateral obligation in Scotland?

<p>It is not enforced in the course of business activities (B)</p> Signup and view all the answers

Which of the following illustrates the concept of personal bar in contract law?

<p>A party relying on another's prior actions, preventing withdrawal (C)</p> Signup and view all the answers

In the case of WS Karoulias SA v Drambuie Liqueur Co Ltd, what was the determination regarding the existence of a contract?

<p>No contract was formed despite negotiations (D)</p> Signup and view all the answers

At what age do children attain contractual capacity according to the Age of Legal Capacity (Scotland) Act 1991?

<p>16 (A)</p> Signup and view all the answers

Which of the following statements is true regarding contracts entered into by persons lacking capacity?

<p>They may be void ab initio if no capacity was present at the time of agreement. (D)</p> Signup and view all the answers

What legal principle applies when a contract is affected by force and fear?

<p>It is void if the threat was sufficient to overcome an ordinary person's will. (A)</p> Signup and view all the answers

How can individuals contracting with 16-17 year olds ensure protection against prejudicial transactions?

<p>Through ratification of the transaction. (C)</p> Signup and view all the answers

Which of the following best describes the concept of unjustified enrichment in relation to contracts?

<p>A principle allowing recovery of benefits passed under a void agreement. (D)</p> Signup and view all the answers

What does the term 'facility and circumvention' imply in the context of contract law?

<p>A situation where one party uses another's weakened state to secure an unfair advantage. (C)</p> Signup and view all the answers

Which of the following conditions make a person lack capacity to enter a contract?

<p>Being intoxicated beyond the ability to reason. (B)</p> Signup and view all the answers

Under which circumstances may a threat of lawful action be deemed insufficient to void a contract?

<p>When it does not overcome the will of the ordinary person. (A)</p> Signup and view all the answers

What is the likely outcome if a defective contract is challenged successfully due to lack of capacity?

<p>The contract is void ab initio. (D)</p> Signup and view all the answers

Under what condition can a voidable contract be avoided?

<p>If restitutio in integrum is possible. (A)</p> Signup and view all the answers

Which factor does NOT affect the validity of third party rights in a transaction involving a voidable contract?

<p>Confirmation of the contract by a legal entity. (D)</p> Signup and view all the answers

After a void contract is executed, which statement accurately reflects the status of rights and protections?

<p>No legal actions can arise on the basis of the contract. (C)</p> Signup and view all the answers

In the case of a mistake regarding identity, what was the outcome for Morrison in Morrison v Robertson?

<p>Morrison had to return the cows to the other party. (B)</p> Signup and view all the answers

Which situation exemplifies a situation resulting from mistaken consent?

<p>A party signs a contract believing the other party is someone different. (B)</p> Signup and view all the answers

What determines the contractual status when a voidable contract is affirmed?

<p>The original contract remains in effect. (D)</p> Signup and view all the answers

What does the term 'restitutio in integrum' refer to in the context of avoiding a voidable contract?

<p>The possibility of restoring parties to their original positions. (B)</p> Signup and view all the answers

Which type of error occurs when both parties make the same mistake regarding a contract?

<p>Common error (C)</p> Signup and view all the answers

In which case was a mutual error about the timing of a shipment identified?

<p>Raffles v Wichelhaus (A)</p> Signup and view all the answers

What characterizes unilateral error in contract law?

<p>One party misrepresents an essential fact to the other (A)</p> Signup and view all the answers

Which of the following statements accurately describes misrepresentation?

<p>It must induce the other party to enter into a contract under a mistaken belief. (C)</p> Signup and view all the answers

Which one of these cases dealt specifically with a common error related to pricing?

<p>Hamilton v Western Bank of Scotland (C)</p> Signup and view all the answers

In what situation might a contract be deemed void due to mutual error?

<p>When both parties are mistaken about an essential aspect. (C)</p> Signup and view all the answers

What does the term 'material misrepresentation' imply in contract law?

<p>Inaccurate statements that could sway a reasonable person. (D)</p> Signup and view all the answers

Which type of error highlights that one party was misled by the other but does not necessarily pertain to an essential aspect of the contract?

<p>Induced unilateral error (D)</p> Signup and view all the answers

What is required for a misrepresentation to render a contract void?

<p>It must be made to an innocent party by the other party to the contract. (D)</p> Signup and view all the answers

Which type of misrepresentation allows for suing for damages?

<p>Both B and C. (C)</p> Signup and view all the answers

In the context of misrepresentation, which case establishes that fraud is proved where a false representation is made knowingly?

<p>Derry v Peek. (C)</p> Signup and view all the answers

What is the legal principle regarding the transfer of ownership in the case where A has no title?

<p>B's title is void due to A's lack of title. (A)</p> Signup and view all the answers

What is meant by 'uninduced unilateral errors' in contract law?

<p>Errors that do not affect the validity of the contract. (C)</p> Signup and view all the answers

Which phrase best describes the outcome of 'snatching at a bargain' in the context of contracts?

<p>It may lead to the contract being challenged. (B)</p> Signup and view all the answers

How does negligent misrepresentation differ from innocent misrepresentation?

<p>Negligent misrepresentation results in damages, while innocent does not. (B)</p> Signup and view all the answers

Which legal case addresses the issue of gratuitous transactions in contract law?

<p>Hunter v Bradford Property Trust Ltd. (A)</p> Signup and view all the answers

Flashcards

Contractual Obligations

The duties and rights that parties in a contract agree to uphold.

Contract Formation

The process of creating a legally binding agreement between parties.

Pursuer

The party initiating a legal action in a court of law.

Defender

The party being sued or against whom legal action is taken.

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Consensus in Idem

Agreement of minds; a shared understanding of the terms of an agreement.

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Objective Approach (Contracts)

A legal standard used to determine whether a contract exists based on external actions and observable expressions.

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Contract Formation: Offer/Acceptance

The exchange of an offer and a corresponding acceptance to create an agreement between parties

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Bilateral Contract

A type of contract where both parties exchange promises.

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Consensus

Agreement between parties in a contract, based on what they have said or done, not their intentions.

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Offer

A definite proposal made by one party to another, showing an intention to be bound by the terms stated.

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Invitation to Treat

A statement expressing a willingness to negotiate a contract, not an offer.

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Acceptance

An unconditional agreement to the terms of an offer.

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Commercial Contracts

Contracts based on what is explicitly agreed upon in words, not intentions. Focus on the terms.

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Mathieson Gee v Quigley

Case highlighting that a contract requires clear and definite terms, not merely an apparent agreement.

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Offeror

The party making the offer.

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Offeree

The party to whom an offer is made.

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Invitation to Treat

An invitation to make an offer, not an offer itself. A party responding to an invitation to treat is making an offer, which can be accepted or rejected.

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Offer

A definite proposal to enter into a contract that is made in such a way that a simple response of yes or no will complete the agreement.

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Counter-Offer

A response to an offer that changes the terms of the initial offer. It kills the original offer.

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Acceptance

A final and unqualified expression of agreement to the exact terms of an offer.

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Pharmaceutical Society of Great Britain v Boots

A case illustrating the difference between an invitation to treat and an offer, concerning a self-service store and the sale of drugs.

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Carlill v Carbolic Smoke Ball Co

Case illustrating an unusual advertisement as a valid offer capable of acceptance.

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Offer Lapse

An offer ceases to exist if not accepted in a reasonable time frame or if it's rejected or revoked by the offeror.

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Reasonable Time

The time frame for acceptance of an offer depends on the circumstances and the expectations.

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Civil Courts

The courts used to settle private disputes.

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Private Law Remedies

Court-ordered solutions to enforce rights and address wrongs by private persons or individuals.

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Private Law Categories

Four main areas of private law: Persons, Property, Obligations, and Actions.

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Contract Formation

The process of creating a legally binding agreement between two or more parties.

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Bilateral Contract

A contract where both parties exchange promises to perform actions.

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Scots Contract vs. English Contract Law

Scots law relies on the principle of promise, while English law uses the doctrine of consideration; differences exist in sources of law.

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Scots Law Obligations

Rights and duties between people, recognized in Scots law, arising from contract, promise, or law (like unjustified enrichment or delict).

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Unilateral Obligation

A legal relationship where one party (debtor) has a duty to another party (creditor, who has a corresponding right).

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Involuntary Obligation

Obligations imposed by law, not from agreement, like unjustified enrichment or delict.

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Unjustified Enrichment

Obligation to restore a benefit received when that receipt was not rightly deserved, hence unjustly gained benefit

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Contractual Obligation

Duty to perform what is agreed in a contract (paying or completing terms).

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Delict

A wrongful act causing harm – duty to make reparation for that harm.

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Legal Personality

Ability of person or entity to have rights and duties under the law.

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Legal Capacity

A person's ability to understand and perform in legal relationships, and execute contracts.

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Incomplete Agreements

Agreements that lack essential details, like price or specific terms, making them unenforceable.

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Intention to create legal relations

The parties' serious desire to enter into a legally binding agreement.

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Conditional Agreements

Contracts dependent on a specific condition being met, making enforcement contingent.

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Enforceable contract

A contract that the courts will uphold and require the parties to follow through.

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Unenforceable agreement

A contract that a court will not uphold, lacking critical elements.

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Essential Term (Contracts)

A crucial element of a contract without which the agreement is incomplete or invalid

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Arbitration (Contracts)

A method used to settle contractual disputes outside of court, typically involving a neutral third party.

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Executed Agreements

Agreements where obligations have been fully performed by both parties.

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Presumptions of Intention

Social agreements usually aren't contracts, while commercial agreements are, but either is rebuttable.

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Quantum Meruit

Payment for services that have already been fully performed, determined as being reasonable.

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Social Agreements

Agreements between individuals that are not legally enforceable

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Commercial Agreements

Agreements between businesses that are legally binding and commonly subject to specific contractual terms.

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Conditional Agreements

Agreements where obligations are dependent on the occurrence of a future event.

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Suspensive Condition

A condition in an agreement that suspends an obligation until a future uncertain event occurs.

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Resolutive Condition

A condition in an agreement that terminates an obligation upon the occurrence of a future uncertain event.

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Requirements of Writing (Scotland) Act 1995

Scottish law outlining when contracts, unilateral obligations, and trusts require a written document for enforceability.

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Unwritten Land Contracts

Exceptions to the requirement for written contracts when certain conditions under the Requirements of Writing (Scotland) Act 1995 are met.

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Pure Obligations

Legal duties that are immediately due and payable upon agreement without any contingent events.

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Philp & Co v Knoblauch 1907

A case where a contract was contested due to a possible lack of direct offer/acceptance; advertisement was considered an "invitation of treat".

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Partridge v Crittenden 1968

A case where an advertisement for sale was deemed not an offer for sale, but an invitation to treat.

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Carlill v Carbolic Smoke Ball Co 1893

A case involving an unusual advertisement, considered a legally binding offer capable of acceptance.

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Fisher v Bell 1961

A court case that demonstrated that displaying an item with a price tag in a shop window is not an offer for sale, but an invitation to treat.

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Pharmaceutical Society of GB v Boots 1953

A case focusing on the crucial point where the sale was deemed to take place; this case established when an offer was made in a self-service store.

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Invitation to Treat

A statement expressing a willingness to negotiate a contract, not a direct offer.

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Offer

A definite proposal to enter into a contract, where a simple yes or no completes the agreement.

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Acceptance

An unconditional agreement to the terms of an offer.

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Harvey v Facey (1893)

A case illustrating the difference between an offer and an invitation to treat. A telegram requesting the lowest price doesn't constitute a contract, only an invitation to treat.

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Offer vs. Invitation to Treat

An offer is a definite proposal to enter a contract; an invitation to treat is a request for offers.

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Chwee Kin Keong v Digilandmall.com Pte Ltd

A case demonstrating a serious error in advertising and pricing; highlights the crucial issue of mistakes in offers. Company's refusal to fulfill the contract due to the error.

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Offer Lapse

Losing the offer's validity due to non-acceptance within a reasonable time or outright rejection by the offeror.

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McArthur v Lawson (1877)

A case about the legal interpretation of vague promises and unspecific partnership terms; a discussion whether the offer was clear or required further action.

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Wolf & Wolf v Forfar Potato Co (1984)

A case illustrating a qualified acceptance being invalid and rejected. A qualified acceptance cannot be held as an acceptance. A subsequent valid acceptance before the deadline is still valid.

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Wylie & Lochead v McElroy & Sons (1873)

An offer that isn't accepted within a reasonable time lapses; highlights the importance of time limits in offers.

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Reasonable time (contracts)

The duration within which an offer must be accepted, varying based on circumstance and expectations.

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Incomplete Agreements

Contracts lacking essential details (e.g., price, key terms) are unenforceable.

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Intention to Create Legal Relations

Serious intent of parties to be bound by a contract.

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Conditional Agreements

Contracts contingent on a specific future event; enforcement depends on the event.

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Formalities (Contracts)

Legal requirements for a contract to be valid (e.g., writing, witnesses).

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Enforceable Agreement

A contract the court will uphold; parties must fulfill obligations.

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Executed Agreements

Contracts where both parties have fulfilled their obligations.

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Intention to Create Legal Relations

Serious intent by parties to be legally bound by an agreement.

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Social Agreements

Agreements between individuals not typically legally enforceable.

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Commercial Agreements

Agreements between businesses, generally considered legally binding.

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Quantum Meruit

Payment for services rendered, determined as reasonable, even if no specific price was agreed upon.

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Intention to create legal obligations

The serious intention of parties to be legally bound by an agreement.

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Social Agreement (Legal)

Agreements between individuals that are typically not legally binding.

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Commercial Agreement (Legal)

Agreements between businesses intended to be legally enforceable.

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Conditional Agreements

Agreements with obligations dependent on specific future events.

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Requirements of Writing (Scotland)

Scottish law specifying when contracts need a written form for enforceability (property, gifts, etc.).

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Unwritten Land Contracts (Exceptions)

Exceptions to written contract requirements in Scotland for land transactions under specific conditions.

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Pure Obligations

Legal duties that are immediately due and payable without conditions.

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Conditional Agreements (Types)

Agreements with obligations contingent upon a specific condition occurring. Condition can be suspensive or resolutive.

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Void Agreement

A contract that lacks legal force from the outset, as if it never existed.

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Voidable Agreement

A valid contract that can be cancelled by one of the parties under specific circumstances.

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Grounds of Challenge

Reasons why a contract can be declared void or voidable.

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Lack of Capacity

Inability of a party to understand the terms of a contract due to factors such as age or mental state.

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Illegality

A contract is void if its purpose or terms are against the law.

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Defect in Consent

Issues within a contract where someone's agreement wasn't truly free or genuine.

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Third Party Rights (Void Contract)

If a contract is void, a third party who buys something from one of the participants doesn't gain ownership.

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Third Party Rights (Voidable Contract)

If a contract is voidable, a third party that buys something acquires ownership if they didn't know the initial contract could be invalidated.

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Capacity to Contract

The legal ability of a person to enter into a binding contract.

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Children's Contractual Capacity

Children under 16 generally lack capacity to contract in Scotland, except under specific circumstances.

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Incapable Adults

Adults lacking the mental capacity to understand the terms of a contract.

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Intoxicated Persons

Persons intoxicated to the point of lacking the ability to understand a contract's terms.

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Force and Fear (Contract)

A contract is void if made under duress or threat of violence.

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Facility and Circumvention

Contracts entered into by a person with diminished mental capacity, exploited by another party.

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Unjustified Enrichment

Recovery of benefits gained under a void contract, preventing unjust gain.

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Void Ab Initio

A contract is void from the beginning if a party lacks capacity.

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Bilateral error

Both parties make the same mistake about a crucial contract detail.

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Mutual error

Parties have different understandings of a crucial contract detail.

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Induced unilateral error

One party misleads the other, causing a mistake that affects the agreement (not essential).

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Misrepresentation

One party makes an inaccurate statement to influence the other into a contract.

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Essential aspect of contract

A crucial element of the contract that must be understood by both parties for the contract to be valid.

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Raffles v Wichelhaus

A case illustrating how mutual error on a key contract term can make the contract void.

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Misrepresentation (Void)

A false statement of fact made by one party to another, inducing the other party to enter a contract, that renders the contract void (if it's essential).

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Misrepresentation (Voidable)

A false statement of fact that, if deemed NOT essential to the contract, makes the contract voidable by the innocent party.

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Fraudulent Misrepresentation

A false statement made knowingly, without belief in its truth, or recklessly, whether true or false.

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Innocent Misrepresentation

A false statement made without knowledge of its falsity and with reasonable belief in its truth.

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Negligent Misrepresentation

A false statement made carelessly by one party to another, without reasonable care to ascertain its truth.

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Uninduced Unilateral Error

A mistake by one party, not influenced by the other party, usually not enough to invalidate a contract.

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Snatching at a bargain

A mistake that does not invalidate a contract, because the party making the mistake was trying to profit from it.

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Nemo Dat Quod Non Habet

A seller cannot transfer a better or valid title than they possess.

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