Contract Law: Liability and Crane Hire Agreements

It must be uniform, reasonable, and have quite as much certainty as the written document itself.

When there is fraud, duress, or undue influence.

Ambiguity can be resolved by considering the surrounding circumstances, including the subject-matter, consideration, and identity of the parties.

The two types of exemption clauses are exclusion clauses, which exclude liability altogether, and limitation clauses, which limit the extent of liability.

The basis of liability is breach of contract, and there are two types of liability: liability for breach of contract and liability independently of the contract, such as negligence.

To ensure that only parties to a contract can acquire rights and incur liabilities

It established that Exemption clauses construing of EC cannot defeat the main purpose of the contract

Custom or trade usage

A person cannot acquire rights or incur liabilities

Construing of Exemption clauses

To limit liability

It is a 'take it or leave it' agreement with no freedom to negotiate

Perishable goods

To exclude or limit liability for certain events or damages

A parking lot noting that vehicles are parked at the owner's risk

Consensus ad idem refers to the Latin legal maxim meaning 'meeting of the minds', emphasizing the importance of mutual understanding and agreement between parties in a contract.

The three national languages of Papua New Guinea (English, Pidgin, and Motu) illustrate the concept of agreement by showing how different languages can convey the same idea of agreement, highlighting the importance of mutual understanding in contract law.

The moral basis for contract law, according to the Judeo-Christian perspective, is rooted in the idea of 'do unto others what you would have them do unto you' (Mark 10:9), which emphasizes the importance of reciprocity and respect in contractual relationships, reflecting the concept of law as a means of sustaining and ensuring survival.

In contract law, the concept of 'persons' refers to human beings, excluding non-human species, and is essential in determining the capacity to enter into contractual agreements.

The concept of 'two or more parties' in contract law emphasizes that contractual agreements require multiple parties, which confers rights and imposes obligations that the legal system will enforce.

The intention to create legal relations is a crucial element in a contract, as it distinguishes a contract from a domestic or social agreement. In a contract, the parties intend to create legal obligations, whereas in a domestic or social agreement, there is no intention to create legal relations.

Consideration is the benefit or value that one party receives in exchange for their promise or performance. It is essential in a contract as it ensures that both parties receive a mutual benefit, making the contract enforceable.

Extrinsic evidence can be used to interpret a written contract when the terms of the contract are ambiguous or unclear. However, this approach is limited by the parol evidence rule, which prevents the introduction of extrinsic evidence to contradict or vary the terms of a written contract.

The legality of the object of a contract refers to the requirement that the contract's purpose or objective must be lawful and not contrary to public policy. This is essential, as a contract that violates public policy is unenforceable.

Formalities refer to the requirements that must be met for a contract to be enforceable, such as written form or signature. These formalities ensure that the contract is valid and binding, and failure to comply with them may render the contract unenforceable.

The significance of the Dickenson v Dodds (1867) case is that it established that an offer can be terminated before acceptance, and that the death of the offeror can also terminate the offer.

The court determines the intention of the parties in implying a term into a contract by considering factors such as previous conduct, custom or trade usage, and the presumed intention of the parties.

Custom or trade usage can imply terms into a contract if it is notorious, certain, reasonable, and not contrary to an express term.

The principle behind implying a term into a contract on the basis of 'business efficacy' is that the term is necessary to give business efficacy to the contract, and it is so obvious that it 'goes without saying'.

The significance of the Yarlett v New Guinea Motors Pty Ltd (1985) case is that it established that a term can be implied into a contract if it is necessary to give business efficacy to the contract, and it is so obvious that it 'goes without saying'.

The case shows that an advertisement can be considered an offer, and a person who purchases the product in response to the advertisement can be considered to have accepted the offer, even without direct communication with the advertiser.

An invitation to treat is an expression of a willingness to negotiate, whereas an offer is a definite promise to be bound by the terms of the contract.

Extrinsic evidence can be used to interpret a written contract when there is ambiguity in the contract or when the contract is incomplete.

The case established that a shopper's offer to buy is not an acceptance, but rather an offer that the store owner can accept or reject.

The case shows that a display of goods in a store is an invitation to treat, and the customer's offer to buy is accepted by the store owner when they accept payment.

Custom or trade usage can be used to interpret a written contract, even if it contradicts the express terms of the contract.

The main exception to the parole evidence rule is where there is ambiguity in the written contract or where the contract is incomplete.

In contract disputes, liability typically falls on the party who has breached the contract, and the injured party can claim damages.

The case established that the display of goods in a store is an invitation to treat, and the customer's offer to buy is accepted by the store owner when they accept payment.

A unilateral contract is where one party makes a promise in exchange for an act, whereas a bilateral contract is where both parties exchange promises.