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Topic 5: Contents of the Contract – Terms
Contents of Contract - Terms
A contract may be entered into:In writing,Orally (verbally),By conduct,By a combination of any of the above
There are some exceptions-eg contracts for the sale of land must be in writing
The reason why so many contracts are in writing is because this is the easiest way to be clear on what the terms of the agreement are
Without writing, disputes are difficult to settle as it will not be clear precisely what was agreed
Irrespective of how a contract is entered into, a contract will have terms
Terms条文
-The Parol Evidence Rule states that where a contract is recorded in writing and, on the face of it, is a complete agreement, the court will not admit parol (oral) evidence to add to, vary or contradict the express terms of the written document.
-The idea is to encourage certainty and prevent fraud, but it also creates an opportunity for fraud!
-The first issue is always whether the contract is complete on the face of it, or whether it is really just a partly written and partly oral contract. If it looks like a complete written contract, there is a rebuttable presumption that it is one.
-The court must decide whether the presumption that it was intended to be complete has been rebutted.
There are many exceptions to the PER口头证据法则
Pre contractual statements
During negotiations towards a contract, D may make a statement concerning the subject matter of the contract, which later turns out to be wrong. Can P sue D in contract for breach of contract? The answer depends on how the statement is classified, particularly whether or not the statement can be considered to be a term of the contract.（引言问题）
Categorising terms of contract
Is the statement made during a pre-contractual negotiation?
1. Sales Puff
Sales puffs are intended as praise of the product (and thus are intended to induce the contract) but are not to be taken literally.
Eg “This is the best second hand car that I have ever seen.”
eg“ It is just
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