Will Your Contract Be Enforced Under the Law?

PART A
Issue (1)
Whether a valid contract was there between Bruce and
auctioneer? Whether Bruce is liable to fulfill promises under the
contract?
Rules
• Every contract contains some factors that are essentials for the
same. It means the absence of anyone or more factors prevents
the development of agreement into a contract. Offer is the first
essential that refers to a proposal from one party to another.

RULES
• The third element is a valid consideration. According to
the same, both parties must be likely to achieve
something out of a contract that can be anything having a
legal value.
• It means the consideration is not required to be monetary.
• The next element is the capacity of the parties which is
one of the significant essentials that also influences other
essentials such as consent sometimes.

RULES
• When a party being in an intoxicated state enters into a
contract, the same is not likely to be bind with the same.
• Nevertheless, it should have proved that at the time of
making an offer or providing the consent to an offer, a
person was not in the state to understand the nature of
the subjective transaction or was not aware of the nature
of the contract he/she was entering into.

APPLICATION
• In the case given hereby, it is not given that whether the
subjective auction was with reserve or without reserve
hence to assume that the same was without reserve.
• Applying the provisions of Heathcote Ball v Barry it was
a unilateral offer . Bruce accepted this offer by making a
successful bid.