Commerciall Alw Essay

1905 WordsDec 18, 20138 Pages
At common law, there are three elements that are essential to bring a contract into existence, (1) an agreement (offer and acceptance), (2) consideration and (3) intention to create legal relations. An offer is a statement of the terms on which an offeror is prepared to be contractually bound. Tailor offered a deposit of $3000 and $5000 to pay when the clothes were collected. An acceptance is a final and unqualified assent to the terms of the offer. Acceptance was implied since Josephine deposited $3000. Consideration is the price or detriment paid for another's promise. In this instance, the parties reciprocal promises(tailor supplied two skirts an two blouses and Josephine paid for it) provided the consideration on both sides. All parties to a contact must have intended their agreement to have legal force. In the case of agreements regulating business relations, such as those relating to sale and purchase of goods the court presume that the parties intend legal consequences to arise from such agreements. Here, the parties entered into an agreement which was obviously commercial in nature. Tailor performed the contract precisely and exactly. Finally Josephine did not pay $5000 to tailor. The contract was discharged by breach which means that if one of the parties fails to perform his contractual promises, the party who is at fault (Josephine) is said to have breached the contract and the innocent party (Tailor) is entitled to claim damages. At common law, there are three elements that are essential to bring a contract into existence, (1) an agreement (offer and acceptance), (2) consideration and (3) intention to create legal relations. An offer is a statement of the terms on which an offeror is prepared to be contractually bound. Tailor offered a deposit of $3000 and $5000 to pay when the clothes were collected. An acceptance is a final

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