BTF1010 Lecture Notes - Lecture 3: Halloween, Gijsbert Van Tienhoven, Consideration

• School: Monash Caulfield
• Department: Business Law and Taxation
• Course: BTF1010
• Professor: Dr Benjamin Hayward

Document Summary

Law of contract (cid:858)a (cid:272)o(cid:374)tra(cid:272)t is a(cid:374) agree(cid:373)e(cid:374)t (cid:271)et(cid:449)ee(cid:374) t(cid:449)o or (cid:373)ore parties u(cid:374)der (cid:449)hi(cid:272)h legal rights and obligations are created which are enforceable by the (cid:272)ourts(cid:859). La(cid:449) of (cid:272)o(cid:374)tra(cid:272)t (cid:272)o(cid:374)(cid:272)er(cid:374)ed (cid:449)ith the for(cid:373)atio(cid:374), perfor(cid:373)a(cid:374)(cid:272)e, interpretation and breach of contracts. Functions of a contract: secure expectations, facilitate planning, establish market value for goods and services, allocate risk, provide a formal dispute resolution process. Only offers can be accepted into a contract. Bilateral contract: exchange of mutual promises, (cid:862)a pro(cid:373)ise for a pro(cid:373)ise(cid:863). Delivery of coal from one person with the promise of returning something at a future date. Unilateral contract: offer is made inviting acceptance by actual performance. Reward for the return of lost dog is accepted by the return of the dog: this is the example we will see in carlill. Offer (cid:858)a proposal (cid:271)y o(cid:374)e party to e(cid:374)ter i(cid:374)to a legally (cid:271)i(cid:374)di(cid:374)g (cid:272)o(cid:374)tra(cid:272)t with another. May be made in writing, orally or implied by conduct.