Contract Law: A Case Study of Print Fast Ltd and Seed Store Ltd

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Assignment 1 Business Law
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Table of Contents
Background of the case study..........................................................................................................3
The nature of the statute and case law.........................................................................................3
Applicability in both criminal and civil cases..............................................................................3
How a contract is made?..............................................................................................................6
The difference between an offer and an invitation to treat..........................................................6
The factors which would have persuaded the court that there was an intention to create legal
business relationship....................................................................................................................7
Under what circumstance the contract could become unenforceable..........................................8
References........................................................................................................................................9
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Background of the case study
Print Fast Ltd and Seed Store Limited are the companies situated in London and the parties
engaged in a succession of negotiations by letter, email and face to face that concern with the
facility of printing of fabric at Print East facilities. In this seed is considered as a buyer where the
quantity and dates are printed. On the other hand, Seed confirmed to proceed it by fax and in
this, the Print responded with an email for the confirmation of the contract commenced with the
words that we are delighted to accept your offer. Later on, seed received the contract but never
returned the contract. In this Seed was unable to use the services but print claimed its charges as
it had not to book any other client for the dates that are communicated to the Seed via email.
After that, it is argued by Seed that no contract exists as the signed quote amounted to only to a
conditional offer because as it was indicated that it was conditional on the approval of the board
and the availability of the services and also include the delivery of the contract. Further, it was
claimed by the Print that email was not a valid acceptance and it requires a signature for the
formal contract.
1.
The nature of the statute and case law
In society, the law serves many purposes and functions by establishing the standards,
maintaining order, dispute resolution and protecting the rights and liberties. In the case, law
regimes courts have more flexibility in comparison to the Statute law regime. Case laws are the
past regimes that assist in meeting the jurisdictional obligations as per the provision of the
precedent. Case laws are set of the previous rulings that guide about the ruling of the future.
In the case of PST Energy 7 Shipping LLC Product Shipping & Trading S.A. v O.W. Bunker
Malta Ltd and others [2015] EWCA Civ 1058, the court held that the title clause and its
retention prevented a contract from the contract sale.
In the case of Tulk v Moxhay [1848], the court held that any covenant made among the vendor
and the purchaser for the land sale for the equity enforceability against all the purchases.
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In the case of Krell v Henry [1903], the court held that it is the obligation of the defendant to pay
the amount for the use of the flat for the days that are not used in the situation to the opportunity
for not taking the allusion.
Applicability in both criminal and civil cases
In the criminal and civil proceedings, the evidence law serves many purposes. Both the civil and
criminal law has many purposes and applicability of rule on both of them is different (Kitching,
2015). The civil cases are the cases where the individual institute it for the purpose gaining right
against the wrong and which is committed against the innocent party and if the person succeeds
than the person is awarded relief against the damages or loss caused due to the wrongful act.
Three is the penal system is awarded by the court system of the UK for any wrongful act and
secure the innocent parties against the lawbreakers. On the other hand, in criminal cases, the
cases raise the question of life and death. In this, the courts assess and detailed examining the
person who is convicted and punished. The court investigates on the criminal who commits the
crime. These are the crimes that are against the norms of the whole society.
The court system
The Court of England and Wales deals with the Civil and Criminal cases. For entertaining the
different cases the court structure of the UK is categories into various stages. The hierarchy of
the court includes:
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Figure- Court Structure in the UK
Source- Google images, 2019
Supreme Court
The Supreme Court of England and Wales is the highest and uppermost court in the UK and
entertains the matter of both the civil and criminal cases.
Court of Appeal
This court entertains the matter of both civil and criminal cases. The civil division entertains the
appeals from the County court and the High court and also certain other superior tribunals. On
the other hand, the division of criminal hears the appeals from the Crown court and its decisions
are binding on all the courts.
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High Court
The High court consists of the three divisions includes the Queen Bench, the Chancery and the
Family divisions. This court entertains the appeals from the Magistrate courts (Peck, ET. AL.,
2018).
Crown Court
The Crown Court is the court that entertains the matter of both the original and appellate
jurisdiction that handles the civil businesses. It is an inferior court that handles both the original
and appellate jurisdiction.
Further subordinate courts include County courts, Family courts, Magistrates Court, and Youth
courts.
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2.
How a contract is made?
The contract is agreements that are legally enforced between the two or more parties in
accordance with the requirement specified. The contract is the important part of each and every
business which is fundamentally understood by all the parties including the contractual terms and
conditions along with the rights and obligations of the parties under the contract (Bassiouni,
2012). Each and every contract has offer, acceptance, consideration, and intention of the parties
to create legal relations.
Acceptance is an offer occurs when there is acceptance of unqualified in relation to all the terms
of the offer. If any new terms and conditions are inserted through negotiation with the effect of
the counter offer of original nature by canceling the terms of the original offers.
The difference between an offer and an invitation to treat
An offer is an expression showing by the person and his willingness of the person to do or not do
something by obtaining the consent on the basis of such expression. The acceptance of an offer
by another person is termed as valid contract and it is important that the offer must be definite,
certain and completed in all the respects. It is important that the offer must be communicated to
the party to whom the contract is made (McDougal, et. al., 2018). An offer is made when the
person showed the willingness to entering into the contact of legally binding nature. An offer is a
proposal, on the other hand, the invitation to offer is the offer for inviting the person for entering
into the contract with that person.
On the other hand, the invitation to treat is merely an information supply for attempting the
person in making the offer. It is an act where one person induces another person to make an offer
with him or her is termed as invitation of an offer. When the other party responded to it the
invitation to an offer is termed as an offer. It is an invitation to make an offer to the contract. The
invitation is an offer which is made with the aim of negotiating the terms of the contract
(Hüberli, et. al., 2018). In an invitation offer where the offeror doesn’t make any offer not
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inviting the other party for making the offer. It includes simply responding for an offer to know
the difference between the offer and invitation of an offer.
In an offer when one person willing to express his will against another person to do something
for taking approval is called offer. On the other hand, when a person expresses something to the
person and invites that person to make an offer is called the invitation of an offer.
The main objective of an offer is to enter into a contract while in case of an invitation of an offer
its main objective is to receive offers from people and negotiation the terms on the basis of the
contract is enacted.
Offer is essential to make an agreement but the invitation to an offer is not essential to make and
contract.
When the offer is accepted it becomes agreement but an invitation to offer becomes an offer only
becomes an agreement when the part is responded to the work the contract is made.
In the case of Print Fast Ltd v Seed Store Ltd, it is important for the binding contract both the
parties. In accordance with the case, the Print Fast Ltd made an offer and Seed store Ltd accepted
the offer. It is a valid contract as per the above provision is fulfilled.
The offer and acceptance position when buying using electronic media.
An electronic contract is an agreement which is created and signed in an electronic form. In an
electronic contract, no hard copies are used. In accordance with the fundamental principles of the
contract law that are electronically formed. It is important for the valid e-contract tall the
essential terms and conditions are require to be fulfilled. It includes:
Offer- An offer is to be made in the form of e-contract. In various transactions offer is not
directly made as one by one. In this contract, the consumer browses the goods and services that
are available on the website of the vendor and chooses what would like to purchase by the buyer.
Acceptance- For the valid e-contract it is important that the offer required to be accepted. An
offer made by the party can be revoked at any time before the acceptance is made.
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In accordance with the provision mentioned above, the Seed store Ltd accepted the offer and
communicate the acceptance to the Print media via Email.
The factors which would have persuaded the court that there was an intention to create a
legal business relationship.
In this, both parties have an intention to create legal relation with the assistance of the contract.
In this contract, Seed store confirmed the acceptance by proceeds it with email (Suur-Nuuja and
Tremmel, 2018). All the negotiation among the parties negotiates with the help of email, letter
and face to face communications. It implies that the Seed Store confirm conform its wishes to
proceed it by fax.
The conditions under which your client can terminate the contract
The contract is a legal agreement enforces between the parties so as to meet the contractual
obligations. There are various factors on the basis of which the contract is terminated. These are:
Performance impossibility
For the valid contract, it is important that one or more parties promise to do something and it
becomes impossible to perform the contract (Goldberger, 2018). The client can terminate the
contract when it becomes impossible to perform the contract.
Termination due to fraud
This is also one of the reasons to terminate the contract if the contract is terminated with the
reason of fraud. Vendor enters into the contract with the buyer and if the buyer committing any
fraud than the vendor has the right to terminate the contract.
Termination due to mutual mistake
The termination of a contract occurs in case if the parties mistakenly omit in inserting the
important elements in the contract. If the parties mistakenly violate the terms and conditions of
the contract then it directly impacts the performance of the contract.
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Termination due to breach
If the parties of the contract breach the terms of the contract for receiving undue advantage with
negligence or will behavior is become one of the reasons for the breach of the contract (Inglis,
2018).
With the abovementioned provisions, Print Fast Ltd terminate the contract by proving that the
Seed store Ltd is not returned the contract and their no intention of the party to continue with the
contract.
Under what circumstance the contract could become unenforceable
Sometimes when a valid contract becomes impossible to perform due to which the contract
becomes unenforceable. If there is fault by one party perform doesn’t make the contract
unenforceable. In this, the contract between the parties Print Fast Ltd and Seed store Ltd is there
us a mistake in the contract. In this, there is a mistake on both sides where both the parties
mistakenly considered the terms and conditions of the contract by considering the contract as a
conditional offer by the Seed Store Ltd because the contract indicated that the contract is
attached with a condition on board approval and service availability.
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References
 Bassiouni, M.C., 2012. Introduction to international criminal law. Brill Nijhoff.
 Goldberger, J., 2018. Termination of contracts. Commercial Law Quarterly: The Journal
of the Commercial Law Association of Australia, 32(2), p.28.
 Hüberli, D., Gajda, K., Connor, M. and Van Burgel, A., 2018. Are oats an effective break
crop for crown rot?.
 Inglis, D., 2018. An invitation to social theory. John Wiley & Sons.
 Kitching, J., 2015. Tracking UK freelance workforce trends 1992-2015. The Handbook of
Research on Freelancing and Self-Employment, 15.
 McDougal, M.S., Lasswell, H.D. and Chen, L.C., 2018. Human rights and world public
order: the basic policies of an international law of human dignity. Oxford University
Press.
 Peck, R.S., Durham, C., Wolff, M. and Hannaford-Agor, P., 2018. The Jury Trial Right.
 Suur-Nuuja, S. and Tremmel, J., 2018. Simon Birnbaum, Tommy Ferrarini, Kenneth
Nelson and Joakim Palme: The Generational Welfare Contract: Justice, Institutions and
Outcomes. Intergenerational Justice Review, 4(1).
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