BTC1110 Study Guide - Midterm Guide: Football Pools, Estoppel, Consideration
8 Aug 2018
School
Department
Course
Professor
Document Summary
Both parties must have intended for a legally binding contract to be formed. Since someone"s intention is subjective, we use an objective test- what a reasonable person would understand each party"s intention to be. Two presumptions are made at the beginning of the case when determining whether there is an intention to create legal relations. These presumptions are just guidelines and can be rebutted if the evidence suggests otherwise. It is assumed that there was no intention to form a legally binding contract unless the evidence proves otherwise. When the relationship deteriorated, she commenced divorce proceedings. ordinary, domestic arrangement which was not intended to give rise to a legally binding contract. The consideration in these situations is love and affection which is not adequate in the courts. Merritt v merritt - after a couple had separated, it was arranged that the husband would pay the wife a monthly allowance which would be used to pay off the mortgage.
