Case Study

Case Study: “Chip Pans up in Smoke”

[Name of Seminar Tutor]

Case Study: “Chip Pans up in Smoke”

Introduction

The paper strives to explain the issues in the case study: “Chip Pans up in Smoke.” The aim of the paper is to analyse the situation and the responses in the case study and to provide a legal advice, on the issues, as a newly appointed legal advisor using the IRAC structure/system. The advice to issues of some parties is provided in reference to legal principles, legislations and case law examples. The paper aims to provide a comprehensive coverage of the legal issues presented in the case study, by conducting appropriate research of the issues. Further, it aims to critically analyse the issues presented in the case study in order to present the paper in a coherent manner.

Analysis 1

As a newly appointed legal advisor, a legal advice to Paul Price have to be provided on the nature of his contract with Tefal, for buying four of their Actifry chips fryers (Behagg, 2008, pp. n.d). Under English common law, the basic legal principles have been developed by judges with reference to previous cases. This system is called as system of precedent (Dr. Sebastian & Jaeger, 2010, pp. 4).

A contract refers to an agreement, which has been entered into freely by two or more parties, intending to create a legal obligation. A contract may be in writing or it can be made orally, keeping into account the requirements for writing of certain kinds of contracts under statutes of fraud, which requires written evidence for some contracts to be legally binding. However, it is not necessary that a contract must be expressed in writing, or even, orally. The contract, in which, some terms are not expressed in words or in writing is known as an implied contract. An implied contract is further divided into the following two types:

Implied in Fact

When the parties reach an agreement, not expressed in words or writing, a contract implied in fact is said to be formed under the implied circumstances of entering into an agreement.

Implied in Law

An implied in law or quasi-contract is a means of providing remedy to situations, and is a fictional contract created by courts to impose equity among two parties, not for contractual purposes (Clarkson, et. al. 2008, pp. 224).

Essential Elements of a Valid Contract

The essential elements of legally binding contract, under common law, are an agreement (offer and acceptance), consideration, intention, capacity, legality of form, legality of purpose, and genuine consent.

Agreement (Offer and Acceptance)

Under common law, agreement is reached through offer and acceptance. Offer is an initial proposal to give or do something. Offer is initially made by one party, and upon acceptance of the offer, the agreement is formed. The person or party initially offering the proposal is known as an offerer, and the party or person to which the offer is being made is known as an offerree. Acceptance is the approval of all terms in the offer, ...