Chapter 2 Intention

Intention to create legal obligations

A key element for establishing the existence of a contract, requiring that parties must intend to create legally binding agreements.

Rebuttable presumption in social and domestic agreements

The presumption that there is no intention to create legal obligations in social and domestic agreements, which can be challenged under certain circumstances.

Factors affecting rebuttal of social and domestic presumption

An example includes the situation where a husband and wife are separated when the agreement was made.

Rebuttable presumption in commercial agreements

The presumption that parties intend to create legally binding contracts in commercial settings, which is generally difficult to rebut.

Usage of standard terms like 'ex gratia'

The use of such terms is considered insufficient to challenge the presumption of intention to create legal obligations in commercial contracts.