Stop Candy On Her Rights And Obligations

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To advise Candy on her rights and obligations, the scenario can be divided into three parts. Firstly, Candy’s agreement with Blair about the coffee beans is considered. Part 1 – Candy and Blair; the coffee beans Is there a contract? • Is there an agreement? For an agreement to exist between Candy and Blair regarding the coffee beans, there must be clear offer and acceptance . An agreement may be reached from an oral exchange of statements if the offer must be clearly communicated and all terms distinctly outlined by the offeree. From the facts, Blair made an offer to Candy to supply her with coffee beans, the terms being “he would supply her with 22 two-kilogram bags of Sumatran coffee beans each month at his list price for a period of five years”. Candy accepted the offer and thus there is a binding agreement between the two. • Is there intention to create legal relations? For the agreement to be legally binding, the parties must have mutually intended that the agreement will be enforceable in a court of law . Where the contract is of a commercial or business nature, it is assumed the parties did intend to create legal relations . The facts state, “Candy knew that her childhood friend Blair was also in the coffee business… She decided to give Blair a call”. From this, it is deduced that Candy intended to meet with Blair to discuss business, and as Blair made the offer, it may be concluded that both parties had an intention to create legal relations, and their agreement

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