Case Study 1
Question 1
Identify the essential requirements of a contract and discuss whether a contract exists
here.
A contract is an agreement reached between two or more parities which is legally enforceable
when executed in accordance with specific requirements. There are three basic elements in the
formation of a valid simple contract.
Offer
Acceptance
Consideration
In this scenario, we can assume that a contract does not exist. If set of golf club is displayed in a
shop window, it is therefore not an offer. Because the goods displayed as an invitation to treat
in a shop window, we can understand that products displayed in a shop window are classified
as willingness to negotiate on the part of the shops. Invitations to treat are also considered to
inquire about the price of goods, implying that a party invites the other individuals to make
offers. A distinct offer, a willingness to negotiate only as prepared to make a non-legally
binding contract of conduct on the issue.
When Samir asked to buy the golf clubs the shopkeeper refused him, and there was no
acceptance. So, when the shopkeeper refused Samir which is a set of golf clubs are not the good
for sale. It just be used as ornament, and attract the consumers interested. So, an offer I this case
is not found, either no acceptance. So, there is no contract here.
, Case study 2
Question 1
What is a restrictive covenant? Advise Tom as to the legality of the clause in his contract.
Restrictive covenant is an agreement which restrict the party liberty to work and trade. Such as
contract are void unless the restriction can be shown to be reasonable to both parties involved
and to the general public. There are three types of restrictive covenants. Contracts between
employer and employee, contracts between seller and purchaser of a business and ‘solus’
agreement. For all three forms, the party seeking to implement the agreement must demonstrate
to both parties involved and the general public that it is fair. The contract would be deemed
invalid and unenforceable if they are unable to do this.
This contract is lawful, and in this contract the restriction was reasonable. Since the
relationship between Tom and ABC motor is employer and employee, some restriction may be
imposed on his future job or trade when entering employment and employee may agree. The
worker will later consider that the restriction is unreasonable, so he may break it. It will be up to
the employer to take him to court under such cases to request a ‘prohibition’ banning the
employee from violating the agreement. They would consider the quality of the work the
worker was doing as a factor. If Tom worked for any other business during the contract’s
duration of validity, he would be in a position to harm his former employers.
Ex: Bluebell Apparel Ltd vs Dickinson (1980)
Question 2
Question 1
Identify the essential requirements of a contract and discuss whether a contract exists
here.
A contract is an agreement reached between two or more parities which is legally enforceable
when executed in accordance with specific requirements. There are three basic elements in the
formation of a valid simple contract.
Offer
Acceptance
Consideration
In this scenario, we can assume that a contract does not exist. If set of golf club is displayed in a
shop window, it is therefore not an offer. Because the goods displayed as an invitation to treat
in a shop window, we can understand that products displayed in a shop window are classified
as willingness to negotiate on the part of the shops. Invitations to treat are also considered to
inquire about the price of goods, implying that a party invites the other individuals to make
offers. A distinct offer, a willingness to negotiate only as prepared to make a non-legally
binding contract of conduct on the issue.
When Samir asked to buy the golf clubs the shopkeeper refused him, and there was no
acceptance. So, when the shopkeeper refused Samir which is a set of golf clubs are not the good
for sale. It just be used as ornament, and attract the consumers interested. So, an offer I this case
is not found, either no acceptance. So, there is no contract here.
, Case study 2
Question 1
What is a restrictive covenant? Advise Tom as to the legality of the clause in his contract.
Restrictive covenant is an agreement which restrict the party liberty to work and trade. Such as
contract are void unless the restriction can be shown to be reasonable to both parties involved
and to the general public. There are three types of restrictive covenants. Contracts between
employer and employee, contracts between seller and purchaser of a business and ‘solus’
agreement. For all three forms, the party seeking to implement the agreement must demonstrate
to both parties involved and the general public that it is fair. The contract would be deemed
invalid and unenforceable if they are unable to do this.
This contract is lawful, and in this contract the restriction was reasonable. Since the
relationship between Tom and ABC motor is employer and employee, some restriction may be
imposed on his future job or trade when entering employment and employee may agree. The
worker will later consider that the restriction is unreasonable, so he may break it. It will be up to
the employer to take him to court under such cases to request a ‘prohibition’ banning the
employee from violating the agreement. They would consider the quality of the work the
worker was doing as a factor. If Tom worked for any other business during the contract’s
duration of validity, he would be in a position to harm his former employers.
Ex: Bluebell Apparel Ltd vs Dickinson (1980)
Question 2