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A contract is a valid agreement that

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Presentation on theme: "A contract is a valid agreement that"— Presentation transcript:

1 A contract is a valid agreement that
Contract vs agreement Express Implied Simple Under seal Contract check list- page 525 A contract is a valid agreement that the law will enforce.

2 What are the elements of a valid contract?
Existing Knowledge: What are the elements of a valid contract?

3 What are the elements of a valid contract?
Gained Knowledge: What are the elements of a valid contract? Offer + Acceptance Capacity Consent Have students fill in the reverse side, can also add notes if they wish. Prompt to think: how do these terms relate to terms in criminal code/issues… Mens rea, actus reus, consent Lawful Purpose Consideration

4 Specific and Unconditional Communication
Offer + Acceptance Serious Intent Specific and Unconditional Communication Active Acceptance Offerer Offeree Offer + Acceptance- a meeting of the minds of clear understanding and commitment takes place. Serious intent- clear intention and willingness to carry out the promise (i.e. jokes, threats not included) Active acceptance- “if you don’t notify me in 5 days I”ll assume you accepted the offer” does not count, use of a product would count Implications here for product based marketing- telemarking, e-commerce, credit card offers, etc.

5 Consent 3. Undue Influence 2. Mistake 4. Duress 1. Misrepresentation
In what ways is consent an important concept in law? (think about consent to have a crime done against you [not possible], consent for sexual activity, recent decision from supreme court in assisted suicide….) What would negate consent from being upheld by law and thus challenge the validity of a contract being upheld by law? For all areas- why would they make genuine consent impossible to give? 1) Misrepresentation- false statement of material fact. Why would there be separation between innocent misrepresentation and fradulent misrepresentation? 2) Mistake- although ignorance of the law is no excuse… common mistake (both parties mistaken about same fundamental fact), unilateral (one way mistake). Why would the law make accommodations for mistakes? 3) Undue influence 4) Duress- an extreme form of undue influence

6 Capacity Are there groups in society who are deemed to have a reduced capacity to give consent? (minors, mental disability/illness, temporarily impaired) Why must consent in a contract (in civil law) be established? A contract is voidable if “the person with impaired judgment/minor can prove that he or she was incapable of understanding what was happening at the time the contract was formed and that the other party knew of this condition”. … think about implied contracts- i.e. purchase/sale of goods.

7 Consideration Consideration- the exchange of something of value.
Present and future consideration- valid Past consideration- not legally binding (a good time to talk about the fact that such contracts might be attempted and performed!) Courts do not…. And for each- why? Care about the amount of consideration exchanged Equal/fair value… “parties are free to make good or bad bargains” Regard “love, affection, respect and honour” as valuable legal consideration.

8 Lawful Purpose Valid contracts cannot go against Crime under Criminal Code, Against provincial/federal laws, Against public policy General good is greater than or equal to private good. What are the implications of this on the role of government in citizens’ lives? On the balance of rights between the individual and the collective society?

9 A contract is a valid agreement that
Lawful Purpose Consent Capacity Consideration Offer and Acceptance How are the five elements expressed in these contracts? A contract is a valid agreement that the law will enforce.

10 A contract is a valid agreement that
Lawful Purpose Consent Capacity Consideration Offer and Acceptance What kind of contracts will the courts uphold? Apply the 5 to commercial surrogacy- (prohibited in Canada) Should the Canadian courts uphold commercial surrogacy agreements made in other countries? A contract is a valid agreement that the law will enforce.

11 Discharging (ending) a contract due to….
…Performance …Mutual Agreement …Frustrated …Breach End of contract- performance, mutual agreement, impossibility of performance, breach Contract: Between Promoter and The Tragically Hip, exchanging performance of concert for $.

12 Damages, Specific Performance, Injunction, Recission
Damages- compensation for loss Specific performance- requirement to do something Injunction- requirement to NOT do something Recission- return to state before contract existed Damages, Specific Performance, Injunction, Recission

13 Is there a valid contract?
Has it been breached in some way? Breach of contract- complicated Questions animate on click… try to prompt for them, these to me seem the essential questions to consider Is there a valid contract? Explicit, implied? Has it been breached in some way?

14 What are the elements of a valid contract?
Gained Knowledge: What are the elements of a valid contract? Offer + Acceptance Capacity Consent Can these be ranked in order of importance? What are the underlying values that inform the components of valid contracts? Lawful Purpose Consideration


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