Common Law

Common Law O/Cs 1 & 2 New Business Seminar

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Abstract

This paper tries to explore contract law and discusses legal binding. For better understanding, the paper also includes three case scenarios of David vs. Mary, Omar vs. Tariq and Simon vs. Ahmed and also discusses Law of Tort.

Common Law O/Cs 1 & 2 New Business Seminar

1.Introduction

Contract law is well defined law area but complex in England. The most significant terms under contract law are offer, consideration, acceptance, intention, vitiating factors, content, capacity to form contract, discharge, and remedies.

Contract is a legally binding promise made between two or more person and entities to do or not to do something (Barnett, 2003). There are certain condition that make a legal binding, these elements to a successful contract are offer and acceptance, consideration, legality of the subject involve in the contract, the free consent of both the parties and capacity of the parties.

Contractual terms can either be warranty, condition or innominate terms. It is significant for contractual parties to accurately recognize that terms are to be warranty and that are to be conditions. There has been a contract violation; it is significant to find out which kind of term has been broken to ascertain the available remedy.

Contract law differs to a great extent from jurisdiction to jurisdiction such as the received law impact, differences in civil law compared to common law, mainly UK in common law countries, and of law codified in legation of region.

2.Contract

2.1.Seminar task

Offer and Acceptance

Offer is a willingness expression to contract on a certain terms that are made with an intention that if the offer is accepted by the offeree, he/ she will be bound by an agreement. Acceptance is an unconditional and absolute expression contract to all the terms made in the offer. The acceptance should precisely reflect the actual offer made (McKendrick, 2005).

Create Legal Relations

Legal relations creation is a set of guidelines in contract law, which states a contract is lawfully put into effect merely if parties that are contracting can be considered by the court to have determined it. Commercial agreements strongly deemed to create legal relations, but it is also essential for domestic and social agreement. An offer is being made and accepted, a legal relation is formed, which create a binding for both the parties to fulfil their promise made. Legal binding also helps in taking legal action against the parties, so it provides security to the parties involved in the contract.

Consideration

Consideration is the promise made by both the parties for the fulfilment of their objective with other party (Stark, 2003). It is something which is of some value to other party. Generally, money is the most generally and widely used consideration. However, other non-financial things can also act as consideration in contract. However, a consideration should be fair and legal. Anything or act which is illegal cannot be taken as consideration to the contract. It should be simple and exchangeable in the ...