Contract Law Cases Overview

Contract Law Cases

• Carlill v Carbolic Smoke Ball Co [1893]: An advertisement constituted an offer to anyone who followed the conditions. Performance of the conditions was acceptance.

• Harvey v Facey [1893]: A telegram stating the lowest price for goods did not constitute acceptance. It was merely a response to a question. A mere statement of a price does not imply a contract to sell at that price.

• Bob Bushell Ltd v Luxel Varese SAS (1998): Objective test applied to determine contractual intention. Objective analysis of the parties’ communications and conduct prior to formation established a contract of sole distributorship.

• Wilson v Belfast Corporation (1921): Decisions of a corporation may change. No contract was formed in this situation.

• Billings v Arnott & Co Ltd (1945): Acceptance of an offer is completed when the offeree performs a condition.

• Fisher v Bell (1961): Goods displayed in a shop window are not offers for sale. This constitutes an invitation to treat.

• Partridge v Crittenden (1968): An advertisement of goods for sale is an invitation to treat, not an offer.

• Tansey v The College of Occupational Therapists Ltd (1986): Communication of exam information from a college does not constitute acceptance of an offer.

• Harris v Nickerson (1873): A declaration of intention doesn't create a binding contract

• Harvela Investments v Royal Trust Co of Canada: Highest bid was a valid acceptance of the offer of shares.

• MJB Enterprises Ltd. v Defence Construction Ltd: Contract was approved by an emoji.

• South West Terminal Ltd v Achter Land (2023): Parties reached an objective understanding, implying a contract.

• Hyde v Wrench (1840): A counter-offer rejects the original offer, making it impossible to accept later.

• Wheeler & Co v Jeffrey & Co (1921): Agreement in correspondence is not necessarily a legally binding contract.

• Butler Machine Tool Co v Ex-Cell-O Corporation: A contract is formed based on the last of the parties' communications, including their own terms if that's mutually agreed upon.

• Stevenson v McLean (1880): A telegram asking for further terms does not constitute acceptance.

• Entores v Miles Far East Corporation: Acceptance of an offer by Telex or telegram is complete when the acceptance is received.

• Walker v Glass (1979): Acceptance of an offer must be communicated to the offeror to form a binding contract; otherwise, the offer is withdrawn.

• Felthouse v Bindley (1862): Silence cannot constitute acceptance of an offer. To accept a contract you must communicate your acceptance to the other party, or you need to complete an action as a condition of the acceptance.

• Household Fire Insurance v Grant (1879): Acceptance of an offer is effective once it is posted in order to bind parties, despite this potential inconvenience or hardship.

• Holwell Securities v Hughes: Acceptance of an offer must be communicated to the offeror. Posting of acceptance does not bind the offeror in all circumstances.

• Nunin Holdings Pty Ltd v Tullamarine Estates Pty Ltd (1994): An offer isn't binding until acceptance is received by the offeror.

Intention to Create Legal Relations

• Balfour v Balfour (1919): Agreements between spouses are typically not intended to be legally binding.

• Merritt v Merritt (1970): A domestic agreement between separated parties is likely intended to be legally binding.

• Hardwick v Johnson (1978): Intent to create a legal relationship is unlikely between separated parties.

• Rose & Frank Co v Crompton Bros (1925): The parties' intent in an agreement matters more than the formality of the written document to determine legal standing.

• Taylor v Brewer: Implied promise, intent to be legally binding.