CONTACT LAW

Contact Law

ABSTRACT

This question deals with the law of contract and examines intent to create legal relations and consideration. For a contract to have existed there needs to have been in general an offer, an acceptance, and intent to be legally bound. Contractual obligations are based on the agreement of the contracting parties and are recognised by law, therefore a contract is an agreement that is legally enforceable. The offeree makes an offer when there is an “expression of willingness made with the intention that is shall become binding as soon as it is accepted by the person it was made to”the offeror.

Table of contents

ABSTRACT2

INTRODUCTION4

DISCUSSION4

CONCLUSION12

BIBLIOGRAPHY13

INTRODUCTION

To assume an objective approach is the most dependable way of protecting 'good faith reliance' and 'promotes both commerce and fairness'is a reasonable assumption to propose but not necessarily wholly accurate. Adoption of objectivity in English law in the position of contract law is not a stance that should be applied in totality in contract cases as it has flaws especially in relation to Commercial transactions, thus to assert that it promotes both commerce and fairness is questionable. Underpinning this notion are contract ideologies within the realm of contract law, which explains and analyses the various ways in which contractual relationships can be considered. Two of these ideologies, commerce and fairness are linked to two different areas of contract; commerce benefits the market individualist and fairness appeals to the consumer welfarist. This discussion shall examine the problems of objectivity, and if commerce and fairness are concepts that are equally balanced in contracts fairly. Also, it will examine whether objectivity is the most efficient way for the courts to adjudicate contracts as a whole, or whether a subjective approach could be used with the law of contract.

DISCUSSION

It is unfeasible to completely disagree with Adams and Brownsword on the notion of objectivity. Scrutinizing outward appearances to challenge the intentions of contractors rather than 'speculating upon the actual state of mind of the parties,'[1] stands as the most pragmatic and dependable way in viewing contracts. Supporters such as Lord Denning illustrated this idea as such in Storer vs. Manchester City council[2]. Nevertheless objectivity does have a key role in contract law since it helps adjudicate the way in which business should be conducted in the market place and can create a sense of certainty and independence amongst parties.

However, the objective approach is open to criticism in that it is a position to be abused and exploited for its own gain. It can thus be seen as not agreeing with Adams and Brownsword in that it promotes both commerce and fairness for reason that being absolutely objective is a near impossible concept. One is then persuaded by the arguments put forward by Howarth in that 'objectivity is in the opinion of different courts.' [3] .Thus objectivity is in the hands of the law to give reign to interpret as it desires, and it also allows the judiciary to display a broad power of discretion when enforcing ...