Questions and Answers
What is a contractual license?
A licence arising as a result of a contract between the parties.
What is the difference between contractual licenses and bare licenses?
Consideration
What are the types of contractual licenses and give examples of these?
Short term (car parks), medium term (construction work), long term (residential occupation)
How are contractual licenses created?
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Are formalities needed to create a contractual license?
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Can contractual licenses be implied?
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In what kind of situations can there be issues in showing intention to create legal relations?
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What is the key case for implied contractual license?
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What happened in the case of Tanner v Tanner?
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Are the courts as willing to imply contractual licenses as they used to be?
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What is the effect of a contractual license?
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What are the two outdated views about whether contractual licenses are revocable at will?
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What is the current position the courts hold about the revocability of contractual licenses?
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What is the key case about revocable contractual licenses?
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Was the license to see a film in Hurst v Picture revocable?
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Was the license to use a town hall for a meeting in Verrall v Great Yarmouth revocable?
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What happens in relation to longer licenses, e.g., a license for life, which is not perpetual?
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What remedies can be awarded for revocation of a contractual license?
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What is a key factor in deciding whether to revoke a contractual license or not?
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What is the traditional view towards whether contractual licenses should bind successors?
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What is the alternative view towards whether contractual licenses should bind successors?
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In what case is the present law on contractual licenses binding successors found?
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What is mentioned regarding cases in the area of contractual licenses?
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Study Notes
Contractual Licenses Overview
- Contractual license is granted from a contract between parties, creating a legal permission for use of property.
- Consideration differentiates contractual licenses from bare licenses.
Types of Contractual Licenses
- Short term examples include parking agreements.
- Medium term examples relate to construction work projects.
- Long term examples refer to residential occupancy situations.
Creation and Characteristics
- Created via a legally binding contract involving agreement, consideration, and intent to create legal relations.
- No formalities are needed for establishment.
- Contractual licenses can be implied from surrounding circumstances but are typically expressed.
Intention to Create Legal Relations
- Issues arise in residential agreements among closely related individuals about the intention behind the arrangement, as courts tend to lean against presuming intent in these cases.
Key Case: Tanner v Tanner
- Case highlights an implied contractual license when a mother lost her rent-controlled flat to live in a flat bought by her partner.
- Court ruled she retained a license to remain as long as the children were of school age.
Modern Court Stance on Implied Licenses
- Courts are less likely to imply licenses now, influenced by changes in proprietary estoppel doctrine.
Effects and Revocability
- Contractual licenses provide permission to use land and shield licensees from trespassing claims.
- Historically, the common law view allowed revocation at will, while equity provided some protections.
- Current views recognize some licenses as revocable with reasonable notice, while others may be irrevocable.
Notable Cases on Revocability
- Winter Garden Theatre v Millennium Productions: Clarified that indefinite licenses must not imply perpetual arrangements; revocation needs to be reasonable.
- Hurst v Picture: License to view a film deemed irrevocable.
- Verrall v Great Yarmouth: License for town hall usage was also irrevocable.
Longer Licenses and Remedies
- Ambiguity exists concerning longer-term licenses that are not perpetual.
- Discretionary remedies may be awarded following revocation; damages apply in cases of impossible enforcement.
Binding Successors Debate
- Traditional view considers contractual licenses as personal interests, not binding successors.
- Alternative view argues that licenses could be recognized as proprietary interests, potentially binding future landowners.
Key Case on Successors
- Ashburn v Arnold (CA) established that while contractual licenses are personal, they could bind successors under specific conditions influenced by constructive trust.
Additional Considerations
- Legal landscape is complex regarding contractual licenses, with numerous cases adding to the confusion.
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Description
This quiz explores the concept of contractual licenses, detailing their creation, characteristics, and various types including short, medium, and long term licenses. It addresses the legal relations involved and touches on significant case law like Tanner v Tanner, providing a comprehensive understanding of this aspect of contract law.
