Lecture Notes: Contract Law

Overview

• Lecture Focus: Contracts, as part of a series towards the 2023 low screen trans examination
• Approach: Comprehensive understanding across all topics is recommended, not just focusing on select questions
• Previous Recordings: Available for additional reference

Introduction to Contract Law

• Nature of Contract Law: Private law, typical common law subject
• Core Principle: Consent is the foundation of contracts

Types of Contracts

1. Specialty Contracts
   • Also known as contracts under seal or deeds
   • Require formalities such as a seal which indicates official consent
   • No need for consideration due to the presence of the seal
2. Simple Contracts
   • Majority of contracts
   • Not necessarily in writing
   • Can be oral or in writing without formalities like a seal

Test of Agreement

• Objective Test: Used to determine if an agreement exists in simple contracts
  • Considers the perspective of a reasonable person or 'officious bystander'
  • Not based on subjective intentions of parties

Case References

• Smith v. Hughes: Established the objective test
• Tamplin v. James: Reinforced importance of objective understanding in auctions

Elements of Contract Formation

1. Offer and Acceptance
   • An agreement arises from the coincidence of offer and acceptance
   • Offer: A final expression of willingness to be bound
   • Acceptance: Must be unequivocal

Offer vs. Invitation to Treat

• Offer: Final and definite proposal
• Invitation to Treat: Invitation to negotiate, not a binding offer
• Common Examples:
  • Advertisements: Usually seen as invitations unless they resemble unilateral contracts (e.g., reward offers)
  • Auctions & Tenders: Bids are offers, not the auctioneer's invitation
  • Display of Goods: Typically invitations to treat, as affirmed by cases like Fisher v. Bell

Legal Authorities

• Gibson v. Manchester City Council: Clarified invitation to treat in contracts
• Carlill v. Carbolic Smoke Ball Company: Advertisement as offer in unilateral contracts

Additional Considerations

• Enforceable Contracts: Agreement alone isn't enough; other factors like consideration and capacity must be met
• Public Policy: Impacts enforceability of agreements, e.g., legality concerns

Questions and Discussions

• Price Variation: Legal stance on price tags as invitation to treat, not fixed offers
• Practice Advice: Understanding theoretical principles vs. practical scenarios

Conclusion

• Next Steps: Continue exploring past questions and engaging in discussions for thorough exam preparation
• Contact: Queries can be directed through online platforms for further clarification or suggested topics.