Unit 30 Contract Law General requirements for contract

Unit 30 Contract Law

General requirements for contract formation: n possessing legal capacity n the object of the contract must be acceptable by the law n in some cases a particular form is required (e. g. sales contracts)

Key elements of contract formation OFFER + ACCEPTANCE + CONSIDERATION = ENFORCEABLE CONTRACT *enforceable contract = legally valid and binding (the courts can force the parties to abide by it )

Agreements becoming contracts agreement + intention to be legally bound CONTRACT (legal consequences) COMMERCIAL AGREEMENTS -presumed to be contracts FAMILY AND SOCIAL AGREEMENTS -has to be proved that it was intended to be legally bound

Consideration Common law jurisdictions both parties to a contract must bring something to the bargain money Eg. I Party A – a farm (consid. ) Party B – a million dollars (consid. ) anything of value to the parties Eg. II Party C – clerical work (consid. ) Party D – food and shelter (consid. ) *Civil law jurisdictions – no consideration (a promise does not need consideration to be enforceable)

Different forms of a contract CONTRACT EXPRESSED IMPLIED 3 elements are implied (parking fees) written oral 3 essential elements are present

An example of an implied contract from the South of England the town of ARUNDEL

Setting aside the contract Three different ways in which contracts can be set aside: 1. VOID 2. VOIDABLE 3. UNENFORCEABLE (a contract never came into existance) (one or both parties may declare a contract ineffective at their wish) (lacks some particular type of evidence necessary for the enforcement)

Voidable contracts MISTAKE DURESS UNDUE INFLUENCE MISREPRESENTATION INCAPACITY

Remedies for breach of contract AWARD OF MONEY DAMAGES ORDER OF SPECIFIC PERFORMANCES

Essential expressions • • to form/enforce/ breach/enter into/set aside a contract a breach of contract consideration offer and acceptance offeror and offeree an implied/expressed/ legally binding contract valid; invalid • • a void/voidable/ unenforceable contract mistake misrepresentation duress undue influence incapacity an order of specific performances

Vocabulary practice I – Word families Fill in the blanks by using the appropriate words from the text. VERB NOUN ADJECTIVE to enforce avoidance _______ performance

Vocabulary practice II - Collocations Choose one of the listed nouns for each of the following verbs. Use the text. a binding offer; requirements; legal capacity; a contract; requirements to comply with to make …………………. to enter into ………… to set………………aside to fulfil………… to possess………………

Translation practice Translate the following sentences from the Croatian ZOO (Zakon o obveznim odnosima) Art. 253. Punuda Ponuda je prijedlog za sklapanje ugovora učinjen određenoj osobi koji sadrži sve bitne sastojke ugovora. 2. Art. 262. Prihvat ponude Punuda je prihvaćena kad ponuditelj primi izjavu ponuđenika da prihvaća ponudu. 3. Art 269. Činidba Objekt ugovorne obveze je činidba koja se može sastojati u davanju, činjenju, propuštanju ili trpljenju. 1.