SQE 1 - Contract Law
What are the requirements for a contract? - Answer-1. Offer and acceptance
2. Intention to be legally bound
3. Consideration
What contracts need to be in writing? - Answer-- Guarantee
- Contract for the sale of land
- Consumer credit agreements
What are the requirements for a deed? - Answer-1. Clear on its face that it is a deed
2. Executed in the presence of a witness
3. Delivered
What contracts must be made by deed? - Answer-- A promise to make a gift (i.e. without consideration)
- Conveyance of land
Within what timeframe must a claim for a breach of contract be brought? - Answer-6 years from the
date of breach
,Within what timeframe must a claim for breach of a deed be brought? - Answer-12 years from the date
of breach
What are the requirements of an offer? - Answer-- Express an intent to be bound
- Definite and certain
- Offeree must have knowledge of the offer
What is not considered an offer? - Answer-- Requests for information
- Invitations to treat
When can an offeror revoke an offer? - Answer-- Any time before acceptance
How can an offer be revoked? - Answer-- Direct communication from the offeror
- If the offeree receives correct information from a reliable third party of act by the offeror that would
indicate the offer was revoked
When is revocation effective? - Answer-When received.
When can an offer not be revoked? - Answer-- If a collateral contract was made to keep the offer open
- After performance has begun on a unilateral contract
- Offeree accepted the bilateral contract by beginning performance.
When can an offeree terminate an offer? - Answer-- Expressly rejecting it
- Counteroffer
- Impliedly through lapse (stated in the offer or within a reasonable time)
- Operation of law (death, subject matter destroyed or becomes illegal)
, By what method must acceptance be made? - Answer-In the absence of any stipulation in the offer, it
may be accepted in any reasonable manner
If the offer stipulates a method of acceptance, what happens if another method is used? - Answer-It will
be valid is it is no less advantageous than the stipulated method.
Can silence amount to acceptance? - Answer-NO
As a general rule, silence cannot amount to acceptance or bind an offeree
When is a unilateral contract accepted? - Answer-Upon completion of the requested act.
When is the acceptance deemed to have occured? - Answer-Postal rule: acceptance by post creates a
contract at the time of posting.
(Postal rule does not apply to email)
What is a 'battle fo the forms' scenario? - Answer-Offers and acceptances containing different standard
terms and each says its terms control.
The last set of terms that were not objected to control.
What is the presumption of intention to be legally bound in domestic and social arrangements? -
Answer-There is a rebuttable presumption that the parties did not intent to be legally bound by their
agreement.
What are the requirements for a contract? - Answer-1. Offer and acceptance
2. Intention to be legally bound
3. Consideration
What contracts need to be in writing? - Answer-- Guarantee
- Contract for the sale of land
- Consumer credit agreements
What are the requirements for a deed? - Answer-1. Clear on its face that it is a deed
2. Executed in the presence of a witness
3. Delivered
What contracts must be made by deed? - Answer-- A promise to make a gift (i.e. without consideration)
- Conveyance of land
Within what timeframe must a claim for a breach of contract be brought? - Answer-6 years from the
date of breach
,Within what timeframe must a claim for breach of a deed be brought? - Answer-12 years from the date
of breach
What are the requirements of an offer? - Answer-- Express an intent to be bound
- Definite and certain
- Offeree must have knowledge of the offer
What is not considered an offer? - Answer-- Requests for information
- Invitations to treat
When can an offeror revoke an offer? - Answer-- Any time before acceptance
How can an offer be revoked? - Answer-- Direct communication from the offeror
- If the offeree receives correct information from a reliable third party of act by the offeror that would
indicate the offer was revoked
When is revocation effective? - Answer-When received.
When can an offer not be revoked? - Answer-- If a collateral contract was made to keep the offer open
- After performance has begun on a unilateral contract
- Offeree accepted the bilateral contract by beginning performance.
When can an offeree terminate an offer? - Answer-- Expressly rejecting it
- Counteroffer
- Impliedly through lapse (stated in the offer or within a reasonable time)
- Operation of law (death, subject matter destroyed or becomes illegal)
, By what method must acceptance be made? - Answer-In the absence of any stipulation in the offer, it
may be accepted in any reasonable manner
If the offer stipulates a method of acceptance, what happens if another method is used? - Answer-It will
be valid is it is no less advantageous than the stipulated method.
Can silence amount to acceptance? - Answer-NO
As a general rule, silence cannot amount to acceptance or bind an offeree
When is a unilateral contract accepted? - Answer-Upon completion of the requested act.
When is the acceptance deemed to have occured? - Answer-Postal rule: acceptance by post creates a
contract at the time of posting.
(Postal rule does not apply to email)
What is a 'battle fo the forms' scenario? - Answer-Offers and acceptances containing different standard
terms and each says its terms control.
The last set of terms that were not objected to control.
What is the presumption of intention to be legally bound in domestic and social arrangements? -
Answer-There is a rebuttable presumption that the parties did not intent to be legally bound by their
agreement.
