Contract Law (PGDL) 2024/2025 Exam
Questions Marking Scheme New Update
| A+ Rated
What are the two main types of contract? - 🧠ANSWER ✔✔Bilateral - A promise
for a promise
Unilateral - A promise in return for an act
What are the main invitation to treat situations? - 🧠ANSWER ✔✔-
Advertisement
- Self-service and shop windows
- Auctions (with reserve)
- Invitations to tender
- Mere statements of price
What is the postal rule? - 🧠ANSWER ✔✔- Acceptance occurs when the letter is
posted not when it is received
- Also applies if the letter is never received (proof of postage)
- Postal rule can be ousted in the offer
- Only applies to acceptance not revocation
Page 1 of 28
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER:
619652435. TERMS OF USE. PRIVACY STATEMENT. ALL RIGHTS RESERVED
,Can the offeror stipulate the method of acceptance? - 🧠ANSWER ✔✔- Yes, but
they must CLEARLY STATE that only the stipulated method will be accepted.
- Remember an equally expeditious method to that stipulated should be
sufficient (Timm v Hoffman)
The general rule is that acceptance has no effect until communicated. However,
what are the other considerations? - 🧠ANSWER ✔✔- Silence cannot amount to
acceptance
- Acceptance in unilateral contracts (no need to communicate. Performance)
- Acceptance by conduct (may be inferred by conduct without being expressly
communicated)
Counter offer v Request for information - 🧠ANSWER ✔✔Counter offer (Hyde v
Wrench)
- Destroys previous offer, rendering it incapable of acceptance
- role of offeror and offeree swaps
Request for information (Stevenson, Jacques and Co v McLean)
- Does not attempt to vary the terms of offer
- The previous offer remains open for acceptance
Page 2 of 28
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER:
619652435. TERMS OF USE. PRIVACY STATEMENT. ALL RIGHTS RESERVED
, Types of Termination - 🧠ANSWER ✔✔- Rejection
- Revocation (think about communication in bilateral and unilateral)
- Lapse in time
- Failure to comply with condition
- Death of one of the parties (think about offeror v offeree)
Acceptance must be... - 🧠ANSWER ✔✔- In response to the offer
- Unqualified
- Communicated (think about third party communication)
When is intention to create legal relations presumed? - 🧠ANSWER ✔✔- In
commercial agreement it is presumed that there is an intention
- In a social/domestic agreement it is not presumed that there is an intention
How can the presumption that the parties have an ICLR be rebutted? -
🧠ANSWER ✔✔Wording that the parties do not intend to create legal relations
that is clear and unambiguous
What is consideration? - 🧠ANSWER ✔✔The value given in return for a promise.
Look out for the exchange.
Page 3 of 28
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER:
619652435. TERMS OF USE. PRIVACY STATEMENT. ALL RIGHTS RESERVED
Questions Marking Scheme New Update
| A+ Rated
What are the two main types of contract? - 🧠ANSWER ✔✔Bilateral - A promise
for a promise
Unilateral - A promise in return for an act
What are the main invitation to treat situations? - 🧠ANSWER ✔✔-
Advertisement
- Self-service and shop windows
- Auctions (with reserve)
- Invitations to tender
- Mere statements of price
What is the postal rule? - 🧠ANSWER ✔✔- Acceptance occurs when the letter is
posted not when it is received
- Also applies if the letter is never received (proof of postage)
- Postal rule can be ousted in the offer
- Only applies to acceptance not revocation
Page 1 of 28
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER:
619652435. TERMS OF USE. PRIVACY STATEMENT. ALL RIGHTS RESERVED
,Can the offeror stipulate the method of acceptance? - 🧠ANSWER ✔✔- Yes, but
they must CLEARLY STATE that only the stipulated method will be accepted.
- Remember an equally expeditious method to that stipulated should be
sufficient (Timm v Hoffman)
The general rule is that acceptance has no effect until communicated. However,
what are the other considerations? - 🧠ANSWER ✔✔- Silence cannot amount to
acceptance
- Acceptance in unilateral contracts (no need to communicate. Performance)
- Acceptance by conduct (may be inferred by conduct without being expressly
communicated)
Counter offer v Request for information - 🧠ANSWER ✔✔Counter offer (Hyde v
Wrench)
- Destroys previous offer, rendering it incapable of acceptance
- role of offeror and offeree swaps
Request for information (Stevenson, Jacques and Co v McLean)
- Does not attempt to vary the terms of offer
- The previous offer remains open for acceptance
Page 2 of 28
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER:
619652435. TERMS OF USE. PRIVACY STATEMENT. ALL RIGHTS RESERVED
, Types of Termination - 🧠ANSWER ✔✔- Rejection
- Revocation (think about communication in bilateral and unilateral)
- Lapse in time
- Failure to comply with condition
- Death of one of the parties (think about offeror v offeree)
Acceptance must be... - 🧠ANSWER ✔✔- In response to the offer
- Unqualified
- Communicated (think about third party communication)
When is intention to create legal relations presumed? - 🧠ANSWER ✔✔- In
commercial agreement it is presumed that there is an intention
- In a social/domestic agreement it is not presumed that there is an intention
How can the presumption that the parties have an ICLR be rebutted? -
🧠ANSWER ✔✔Wording that the parties do not intend to create legal relations
that is clear and unambiguous
What is consideration? - 🧠ANSWER ✔✔The value given in return for a promise.
Look out for the exchange.
Page 3 of 28
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER:
619652435. TERMS OF USE. PRIVACY STATEMENT. ALL RIGHTS RESERVED
