The Key Elements Of Contract

A contract is formed when an offer by one party is accepted by the other party. Consideration is the price paid for the promise of the other party. The price must be something of value, although it need not be money. Consideration may be some right, interest or benefit going to one party or some, losses or responsibility given, suffered or undertaken by the other party.

A Contract requires several elements in order to be considered enforceable. However for the purpose of this essay we would explore one of these elements in order to effectively understand the controversial cases of Williams v Roffey Brothers and Nicholls (contractors) Ltd (1990) and Stilk v Myrick (1804). Before going any further one should briefly understand the doctrine of Consideration. Despite the vast amount of content written, the doctrine of consideration is still to this day unclear due to the inconsistency of the courts and its application of necessary rules. Consideration refers to that which the law deems as valuable in that the promisor receives from the promise that which was promised. In other words, it is the exchange of something of value between the parties in a contract. One should be mindful that in English law, every promise may not be legally enforceable; it requires the court to distinguish between are enforceable and non-enforceable obligations. This brings us to the controversial cases of Stilk v Myrick and Williams v the Roffery brothers. Many argue that that the case of Williams was wrongly decided leading to impairments in the rule initially established in Stilk v Myrick. This essay seek to analyse and critique the cases of Stilk v Myrick and Williams v Roffey Brothers and also highlight whether or not the new rule of Practical benefit lead to serious impairments in later cases.

For a contract to be valid there must also be consideration. Consideration means a detriment to the person who made the promise or a benefit conferred on the other party, both of which are measurable in economic terms. Services, money, and goods are the examples of consideration. A promise of a gift is not enforceable in law because of the absence of mutual exchange of consideration. An exception to this rule is when a contract is executed in a specific form called a "deed", in which case consideration is not required to be given to the other party.

Lillard, Monique C., Fifty Jurisdictions in Search of a Standard: The Covenant of Good Faith and Fair Dealing in the Employment Context, 57 Mo. L. Rev. (1992)

When interpreting a contract, the literal approach is often taken to determine what was meant by the contract. The literal approach to contract interpretation means that when looking over a contract, words are assigned their ordinary meaning. Words are interpreted literally, as they ordinarily would be, regardless of the presumed context. However, giving words their ordinary meaning without adjusting for the context of the situation may cause problems. An example would be when a business places a clause in a contract proclaiming that any fees or costs associated with, say, the hourly cost of renting equipment, are subject to change without notice. This contract would cause problems should the fees suddenly be raised by an exorbitant amount because the literal approach would side with the business as they literally state that they could alter their fees at any time without any notice, and they reserve the right to change prices as they see fit. If, in the example given previously, the business hiked rental fees from $5,000 to $50,000 per year, the literal approach could be taken and be fully justifiable but could be problematic. Clearly, a reasonable person would see that a tenfold increase is completely unreasonable, but the literal approach would defend this. Therefore, it would be important to look at the other three forms of contractual interpretation to decide this matter.

The doctrine of consideration is one of the most established doctrines within the common law of contract. This essay will discuss the impact of Williams v Roffey Bros & Nicholls (Contractors) Ltd [1989] EWCA Civ 5 on the doctrine of consideration. It will shed light on the rules of consideration, ways to avoid consideration, application of the rules in the specific circumstance of performance of an existing duty in cases. Evidently an alteration to the rules and practices would be displayed. Courts today need to make a distinction between everyday social agreements and legally binding contracts, this is where the doctrine of consideration manifests. This case introduces the practical benefit rule needed for consideration however, this case did not alter set legislation formed from the case Stilk v Myric[1809]. As it was held in the Court of Appeal and not seen or upheld by the House of Lords.

The statement in this question is “Consideration is the concept of legal value in connection with contracts. It is anything of value promised to another when making a contract. However, “past consideration is not considered a good consideration”. Please illustrate your answer with reference to 3 articles and case laws.”

Contracts are used in many different forms and for just as many different situations within our everyday lives. Some contracts are more involved than others and for some; contracts are an essential of their success. As we continue, we will take a look at different types of contracts with the main focus on enforceable contracts. With so many elements that are incorporated into any contract, the six essential elements of enforceable contracts will be the main focus of this writing. Having a clearer understanding of the essentials of life will help prepare us for life’s curves that may come our way.

An agreement is any understanding of an issue between some parties while a contract is a specific agreement between two or more persons to do or abstain from doing an act and it is intended to create a legally binding relation. This is the basic definition for both agreement and contract. There are many differences between an agreement and contract. This will show more deeply on what is actually an agreement and contract. Below we have also discuss about four main elements that are essential to a contract that makes it enforceable by law.

Introduction: In this assignment I will go over a few legal terms in relation to contract law. I will also talk about a few precedents that help explain the law.

Contacts are something we come across in our day-to-day lives, most of the time without even noticing it. Whether we are at a restaurant, buying a house or car, or even having a day at the spa. A contract is a written or expressed agreement between at least two parties to provide a service or product and can be legally enforced if drawn up correctly.

A contract is a written or spoken agreement between two or more parties that involves the exchange of two promises, which is intended to be enforceable by law. The four basic elements are the offer, consideration, acceptance, and mutuality. When elements are broken down individually, each one is just as important as the next. If one of these elements are broken or misunderstood, it could mean result in the contractual agreement becoming not valid and end in lawsuit. The overall purpose of the contract is for legal purpose and to keep a order within an agreement.

Consideration is often defined as “a detriment voluntarily incurred by the promisee… or a benefit conferred on the promisor in exchange for the promise.”1 Whilst the doctrine of consideration does, in some cases, cause parties to experience injustice, sometimes something that the courts fail to resolve, consideration is a crucial element to the formation of a legally binding contract. This paper will not only explain why the High Court should not abolish the requirement for consideration but will also highlight its usefulness in contract formation.

Quantitative Applications in Management & Research ASSIGNMENT PROGRAM: SEMESTER-I Subject Name : Quantitative Applications in Management & Research Permanent Enrollment Number (PEN) : Roll Number (SEN) : Student Name : INSTRUCTIONS a) Students are required to submit all three assignment sets. ASSIGNMENT Assignment A Assignment B Assignment C b) c) d) e) DETAILS Five Subjective Questions Three Subjective Questions + Case Study 40 Objective Questions MARKS 10 10 10 Total weightage given to these assignments is 30%. OR 30

In the era of globalization, business law is a common study for people today as commerce has become our trend in the worldwide. In this report, we will mainly focus on the main component of the law of contract which is consideration. Besides, we also will briefly explain the principles of offer and acceptance of offer in our case study. In this report, the principles of consideration consist of four elements which are consideration must be sufficient and need not be adequate, consideration need not move from the promisee, part payment of debt as satisfaction of a full debt, and past consideration is valid consideration. Moreover, we also have made a depth-research on principles of consideration with a several law cases which can be regarded to each principle. Furthermore, we also will highlights and details the principles in the law cases with a few factual statements which have been proven in famous law books in our country. This research definitely will help us to know more details about business law in our country.