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Valid Contracs - Essay Example

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The essentials of a valid contract include offer as the first and most important constituent. An offer is a clear statement of the terms on which one party (the offeror) is prepared to do business with another party (the offeree). …
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Valid Contracs

Download file to see previous pages... In the given case, on Monday, Eddie asked Adele for a quote on the price of wild boar piglets. This is not an offer but a mere inquiry. Simple queries for information do not amount to offers. Adele replied that the piglets would cost ?13,350 including delivery charges. Eddie said that the price was acceptable. This means that Eddie did not accept the price. There is a huge difference between accepted and acceptable. He further asked if Adele could deliver the piglets on Wednesday. This is again not an offer but a statement made in negotiation. Such offers also do not amount to offers. In Harvey V Facey [1893] AC 552, the plaintiff was interested in buying some land from the defendant. He asked the defendant the minimum price that he would accept. The defendant replied with a price. The plaintiff attempted to accept that price but the defendant refused to sell. It was held that the defendant’s reply was just a step in negotiation and not an offer. Adele told Eddie that she would fax her answer on the next morning i.e. Tuesday. Adele faxed her answer as promised but Eddie was not his office. Adele had agreed to deliver the piglets on Wednesday at the same cost. Adele did not wait for Eddie’s response and sent her driver to deliver the piglets....
The defendant refused to pay for them. A suit was brought by the plaintiff for breach of contract. It was held that the mistake made by the defendant did not entitle him to breach the contract. It was because his conduct was such that a reasonable person could have easily believed that he wanted the same oats as he was shown as a sample. Also in Plate v. Durst (1896) 32 LRA 404, the defendant was promised ?1000 and a diamond ring if she would remain his domestic servant for 10 years. She fulfilled the promise. It turned out that the defendant intended his statement to be a joke. It was held that the parties had entered into a contract because the defendant’s statement was such that a reasonable person could have easily construed it as a promise. The above mentioned case helps in determination of the fact whether a contract has been made between Eddie and Adele. From the facts, it can be seen that Eddie never made an offer to Adele clearly. It can be seen that Eddie wanted the piglets to be delivered on Wednesday but there is no statement that can establish the fact that if Adele could deliver the piglets on time, Eddie was ready to purchase them from her. His statement is just a step in negotiation; an intimation of his intentions. Eddie’s contract with Peter is not a breach of contract with Adele because there was no contract formed with her. The relationship between Eddie and Adele is devoid of the essentials of a valid contract. Therefore, Eddie would not be held liable for damages and the additional ?400. Answer 2 According to the given facts, Adele was hit by a fork-lift truck at Bambi Stores. The truck was being driven by Reggie, an employee of the store. Bambi Stores claim to have no liability for loss caused to Adele because they had written ...Download file to see next pagesRead More
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