TOPIC 1: INTRODUCTION TO CONTRACT

UNIT 1
Definition of a Contract and the Law of Contract
1.1.1 Objectives

At the end of this Unit you should be able to:

Define a contract; and

Define the law of contract.

1.1.2 Reading

Before starting on Unit 1 read the prescribed material, which is as follows:

Prescribed Reading:

Corrin Care J Contract Law in the South Pacific, 2000, London: Cavendish
(Corrin Care) pp 1-2.

Further Reading:

Cheshire, Fifoot & Furmston, Law of Contract (Furmston) Chpts 1&2

1.1.3 Definition of a contract

A contract is a legally binding agreement made between two or more people who intend it
to have legal effect.

There are therefore two elements:

i. agreement, and

ii. legal enforceability.

 1.1.4 Definition of the Law of Contract

The Law of Contract is:

That branch of the law which determines the circumstances in which a promise
shall be legally binding on the person making it.

(Per Beatson, J, Ansons Law of Contract, 27th ed, 1998, Oxford University Press, p1)

? Make up your own definition of a contract in your own words

? List some contracts that you have entered into recently