An Introduction to Contract Law

Vocabulary flashcards covering fundamental terms, classifications, definitions, and case analysis concepts from Lecture 1 of Contract Law.

Contract (Treitel Definition)

An agreement that gives rise to obligations that are enforced or recognised by law.

Contract (Sir Frederick Pollock Definition)

A promise or set of promises which the law will enforce.

Laissez-faire

A 19th-century economic theory based on the freedom of the individual to enter any contract they wish, under which courts will not interfere in an agreement freely made nor set it aside merely because one party obtained an unequal bargain.

Law of Obligations

The combined area of law comprising Contract Law and Tort Law, as both fields attempt to compensate victims for harm done to them.

Tort Law

A branch of law governing situations where there is no agreement between parties, but where duties of care are imposed by law and apply to everyone.

Simple Contract

A contract that does not need to be in writing or in any particular form, and may be made in writing, orally, part in writing and part orally, or implied from conduct.

Speciality Contract

A contract that is legally required to be in writing, such as contracts involving the sale of land or hire-purchase and credit transactions.

Four Essential Requirements of a Contract

The four necessary legal elements to form a contract: Offer, Acceptance, Consideration, and Intention to Create Legal Relations (or Intention to be legally bound).

Offer

An expression of willingness to contract on certain terms, made with the intention that it shall become binding as soon as it is accepted by the person to whom it is addressed.

Offeror

The person making the offer in a contract scenario.

Offeree

The person receiving the offer in a contract scenario.

Bilateral Offer

A promise made in return for a promise, which forms the basis for most commercial contracts.

Unilateral Offer

A promise made in return for the performance of a required act, commonly seen in reward cases.

Carlill v Carbolic Smoke Ball Co [1893] 1 QB 256

A landmark case where a company advertised a £100 reward to anyone who used their smoke ball as directed and caught flu, illustrating a unilateral offer made to the whole world.

Headnote

A section in printed law report series that provides a summary of facts, questions of law, reasoning, and pinpoint references for quick reading.

Ratio

The legal reasoning of the court for reaching its conclusion in a judicial decision.

Obiter

Additional comments, statements, or observations drawn from a judge's judgment that do not form part of the core binding legal reasoning.