40 Questions
What is a set of rules governing relationships between persons?
A set of rules recognized as giving certain rights to certain persons
Which function of law provides for the structuring of public power?
Structuring of public power
What is an example of local law?
Statutory law (Acts and Acts)
What is an example of public law?
Constitutional law
What is the term for laws made by the people themselves to regulate their relationships?
Contract
What is the function of law that facilitates and regulates private relations?
Facilitating and regulating private relations
What is an example of received law?
Common law principles of equity
What branch of law is concerned with the enforcement of a code of conduct upon citizens?
Public law
What is a bid at an auction considered as?
An offer
What is necessary for a contract to be formed?
Both an offer and an acceptance
What is acceptance defined as under the Law of Contract Act?
An assent to the proposal by the person to whom it was made
What is required of an acceptance for it to be valid?
It must be absolute and unconditional
What happens if an acceptance is qualified?
It becomes a counter offer
What does 'subject to contract' mean in an acceptance?
The parties do not intend to be bound until a formal contract is prepared
In the case of Winn v. Bull, what did the plaintiff sue for?
Specific performance of the agreement
Why did the court rule in favor of the defendant in Winn v. Bull?
Because the agreement was 'subject to contract'
What is a requirement for all simple contracts, whether written or not, under the Common Law?
They must be supported by consideration
What was the ruling in the case of Rann v. Hughes (1778)?
That all simple contracts must be supported by consideration
What is the definition of consideration given in the case of Currie v. Misa (1875)?
Some right, interest, profit or benefit accruing to one party, or some forbearance, detriment, loss or responsibility given, suffered or undertaken by the other
What is the purpose of consideration in a contract?
To act as a price for which the promise of the other is bought
What is a common form of consideration?
A payment of money
What is the essence of consideration in a contract?
A benefit to one party or a detriment to the other
What is the requirement for contracts under the Law of Contract of Tanzania?
They must be supported by consideration
What is the significance of consideration in a contract?
It makes the contract enforceable
Who has rights and liabilities in a contract?
A person who made a promise or consideration
What was the outcome of the Scruttons v. Midland Silicones case?
The stevedores were held liable for the damages
What was the agreement between Mr. Beswick and his nephew?
The nephew was to take over Mr. Beswick's business in return for a payment of £6.50p per week to Mr. Beswick
What was the outcome of the Beswick v. Beswick case?
Beswick's widow failed in her personal capacity but succeeded as administratix
What is the principle of privity of contract?
A third party can furnish consideration but not sue on the contract
What is the provision of the Law of Contract Act in Tanzania regarding privity of contract?
S.2 (1) (d) permits a 3rd person to furnish consideration but not sue on the contract
What is the significance of the Scruttons v. Midland Silicones case?
It highlighted the importance of considering the rights and liabilities of parties in a contract
What is the relevance of the Beswick v. Beswick case to the principle of privity of contract?
It demonstrated that a person who is not a party to a contract cannot sue on the contract
What are representations in a contract?
Statements that merely induce a party to enter into a contract
What are terms in a contract?
Statements that are part of the contract itself
How can you determine whether a statement is a term or a representation?
By applying certain tests to decide whether a statement is a term or a representation
What is one of the tests used to determine whether a statement is a term or a representation?
The intention of the parties
What happens if a party makes a statement with the intention of preventing the other party from finding any defects?
The statement is likely to be a term
What is a collateral contract?
A concept used by court to provide a remedy for non-fraudulent misrepresentation
What happens if a statement is made during preliminary negotiations?
The statement is likely to be pre-contractual
What is the effect of a statement that the aggrieved party would not have made the contract without?
The statement is likely to be a term
Study Notes
Rules and Sources of Law
- A set of rules governing relationships between persons
- Laws made by Parliament (Acts) - Law of Contract Act/Law of Marriage Act
- By-Laws
- Laws made by the people themselves to regulate their relationships - Contract
- A set of rules recognized as giving certain rights to certain persons and imposing certain obligations on certain persons - Tort
Functions of Law
- Structuring of public power - Constitutional law
- Facilitating and regulating private relations - contract, property, marriage, etc.
- Resolving conflicts - the state through law may set up institutions, e.g. courts, tribunals to resolve disputes
Branches of Law
- Municipal law (within a state)
- Public law - concerned with enforcement of a code of conduct upon the citizens
- Criminal law - criminalizes and punishes certain acts and omissions
- Constitutional law - regulates relationship between citizens and state organs
- Administrative law - confers powers on officials
- Regulatory law, e.g. Company law - oversees certain private relations
Acceptance in Contract Law
- Acceptance is defined as an assent to the proposal by the person to whom it was made
- Acceptance must be firm and final: The signification of acceptance must be a firm and final expression of assent to the terms of the proposal as communicated by the offeror/proposer
- Conditional acceptance: An acceptance must be absolute and unconditional
- One form of conditional assent is an acceptance “subject to contract”
Consideration in Contract Law
- Consideration is an important ingredient in all contracts which are not made under seal
- Consideration is defined as: “Some right, interest, profit or benefit accruing to the one party, or some forbearance, detriment, loss or responsibility given, suffered or undertaken by the other”
- Consideration comprises of both positives or negatives to a party
- Payment of money is a common form of consideration
Privity of Contract
- In Tanzania, the Law of Contract Act is silent on the principle of privity of contract
- S.2 (1) (d) permits a 3rd person to furnish consideration but doesn’t allow him to sue on the contract on the ground that although he furnished consideration he is not a party to a contract
Representations and Terms
- Representations: These are statements which merely induce a party to enter into a contract
- Terms: These are part of the contract itself and make up its contents
- Tests to distinguish a term from a representation:
- Intention of the parties
- Statement is likely to be a term if it is made with intention of preventing the other party from finding any defects and succeeds in doing so
- If the statement is such that the aggrieved party would not have made the contract without it, then the statement will be a term of the contract
- The statement made during preliminary negotiations tend to be pre-contractual
This quiz covers the basics of law, including sources of law and functions of law, including constitutional law and private relations.
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