Clinton is president of the university Student’s Union. It is his responsibility to organise entertainment for students at the university. Clinton decided in April to advertise in a local

Assessment 1 covers from:

2 – Formation of Contract (Agreement and Consideration)

3 – Formation of Contract (Consideration and Intention to create legal relations)

4 – Contents of Contract, Breach of Contract and remedies

Learning outcomes:

The Assignment addresses the below learning outcomes.

⦁ Differentiate between an offer and an invitation to treat

⦁ Identify when true acceptance has taken place

⦁ Identify and explain consideration and past consideration in contracts

⦁ Ascertain how the courts establish when parties intend to create an enforceable contract with reference to social and commercial agreements.

⦁ Demonstrate understanding and apply knowledge on the essential elements of a valid contract in answering scenario-based questions.

⦁ Be able to distinguish between condition and warranty providing appropriate case law to support their answers

⦁ Explain how contracts are discharged under English Law.

Read the CASE STUDY BELOW and use it to answer questions in Part A

Clinton is president of the university Student’s Union. It is his responsibility to organise entertainment for students at the university. Clinton decided in April to advertise in a local newspaper asking for musicians to play at the Student Union. The advertising stated:

‘Want to get paid and attract new fans? Then come and play at the university Student Union. We are looking to hire bands to play Friday or Saturday nights in May. Pay: £500 per gig, willing to negotiate.’

Bettina, the lead singer of a local band, replied to Clinton, stating that she was happy to agree on those terms, and that her band would play on Friday 15 May. On receiving Bettina’s letter, Clinton researched her band and found several bad reviews. Clinton decided not to book Bettina and did not respond to her letter.

Chris, a guitarist, also received Clinton’s letter and replied via post, telling Clinton that he would be willing to play at the Union on Saturday 23 May. He went on to say that, as he was well-known locally, his fee would be £750. Clinton sent a letter to Chris on 1 May agreeing to those terms.

On 12 May, Clinton found out that DJ Dervinder, a famous DJ, was available on Saturday 23 May. Clinton agreed with DJ Dervinder that he would play a three-hour session at the Student Union on the 23 May, in exchange for £1,500. Clinton had forgotten that he had invited Chris to play that night.

On 15 May, Bettina arrived at the Student Union ready to play. Clinton told her to leave as they ‘had no contract’ for her band to play that night.

On 23 May, both DJ Dervinder and Chris arrived at the Student Union. Clinton told Chris that his services were not required. He did not pay him his £750 fee.

DJ Dervinder, who was embarrassed by the mix-up, did play a set for the students, but only performed for two hours rather than the three that Clinton needed the entertainment for. After DJ Dervinder left, Clinton asked his friend Emma to perform her regular stand-up comedy routine. The next day, Clinton told Emma he was so grateful he would give her £250. Clinton is now refusing to pay Emma the £250.

Part A

Answer the following questions.

1 Advise Clinton: whether a contract was formed with Bettina. (15 marks)

2. Advise Chris: as to whether a contract was formed with Clinton and is Chris entitled to payment. (15 marks)

3. Advise Clinton: as to whether he owes any liability to Emma for her performance. (15 marks)

Total marks for part A (45 marks)

USE IRAC METHOD (ISSUE, RULE, ANALYSIS, CONCLUSION)
EXPLAIN WHAT A CONTRACT IS, IDENTIFY EACH OF THE PARTIES
EACH PARAGRAPH FOR POTENTIAL ISSUES

Part B – QUESTIONS 1,2 AND 3

1 Applying your knowledge of contract, explain the essential elements of a valid contract. Use appropriate examples or case law to support your answer (35 marks)

2 Explain the doctrine of promissory estoppel using case law in support (10 marks)

3 Distinguish between a condition and warranty. Use appropriate case law to support your answer. (10 marks)

Total Marks for part B (55 marks)

Balfour v Balfour (1919) p135: Husband and wife