Business Law Case Study: Contract Law and Property Purchase

This business law case study examines key aspects of contract law, including contract formation, the difference between offers and invitations to treat, and the offer and acceptance process in property purchases. It explores factors influencing court decisions, conditions for contract termination, and circumstances making contracts unenforceable. The case study analyzes a scenario involving a property sale, considering the House of Lords' potential ruling. The document covers essential elements of a valid contract, emphasizing the significance of intention and legal obligations between parties. The report concludes by summarizing the importance of business law in regulating agreements and maintaining legal frameworks within organizations. It references various sources that support the analysis of contract law principles.

Business law

Table of Contents
INTRODUCTION ..........................................................................................................................3
PART 2- Case study.........................................................................................................................3
How valid contract is formed?....................................................................................................3
The difference between an offer and an invitation to treat.........................................................3
The offer and acceptance position when buying a property.......................................................4
The factors which would have persuaded the court that there was an invitation to treat. ..........4
The conditions under which a contract can be terminated .........................................................4
Under what circumstance the contract could become unenforceable.........................................5
In this case advise your class what could be the House of Lords ruling on the appeal..............5
CONCLUSION ...............................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
Business law is an important branch of law which deals with all the matters and the
implications through which the organisation and the corporation is being run. As being seen
there are further various laws in it which are to be applied while making any deal in the
company(Cheng, and Wang, 2018). The major laws covered in it are contract law, employment
law, intellectual property right etc. the contract law covers all the agreement which are being
enforceable by laws and depicts the major and the important elements in order to come in the
contract. This report will cover a case study and all the major essential elements of the contract.
PART 2- Case study
How valid contract is formed?
As to form a valid contract there has been made that the parties will have to cover the
four most important element in the contract as in order to maintain the essential elements that are
being required to be fulfilled, they are as follows:
 There must be an offer made in the parties as the off error will have to make the further
proposal and the party to which the offer is being made has to accept it.
 Their has to acceptance n the parties as when the offer is being made the parties will have
to accept the offer.
 There has to be attained the valid consideration in between the parties. Which means that
both the parties will have to work on a proper agreement and a price that is being
decided.(DuBoff and Bryan 2019).
 Their has to be a legal relation and the intention to create the legal obligation between the
parties. Which tend that both the parties will be legal bind while making the contract.
The difference between an offer and an invitation to treat.
Offer emerge out from the proposal that is being made by the parties as in order to do or
in case not to do something which is being made by the offeror. And on the other hand invitation
to treat is mainly the the treat that is being made in order of inviting the person so as to make any
proposal. The invitation to treat is being made through the aim of negotiating and also by the

inducing of varies terms and offer is being bound through the legal relation that are being made
between the parties. In order to get the knowledge that whether there is invitation to treat or offer
it can be framed by the intention which are made and the binding affect which are made on the
parties. As invitation to treat is not an offer and is not created by the invitation it will be come in
form when the assent is being given by the party(Roberts, 2017).
The offer and acceptance position when buying a property.
The policy which is made in city council is not being counted as an offer to all public it is
actually invitation to treat. All the handful of document are not being construed as the contract.
The acceptance which is being given by the Gibson will not be the acceptance for the offers their
has not being made any offer in the city council. When the property is actually purchased all the
person who make s the offer is the buyer and the seller will be the one who will either accept it
or not. And if in case they bot h agreed and signs then the contract will be formed. The
acceptance given by the Gibson is not an offer.
The factors which would have persuaded the court that there was an invitation to treat.
As here the city council has made the policy to sell the house is ans invitation to treat and
not offer. As offer is generally being made when there is intention of the party to do stand in this
case the intention is there by being missing. House of lord implicates that there is no offer being
made and the corporation can at any time sell the house. And if in case Mr Gibson wants to buy
the property then they will have to manage with the formal application till that time it is being
open for all the general public(Senftleben and et. al.,2017)
The conditions under which a contract can be terminated
The major ground for the termination of the contract is as follows; Vitiating factors- These are the areas in which the contract can there by being terminated
they are like undue influence, fiduciary misdealing, misrepresentation and all this factor
are the major issue on which the contract can be terminated.
 Breach of contract- As when been seen that there are further various breach in the
contract and the contractual obligations are not being completed then it amounts to
termination of the contract. It can be like the anticipatory breach and the repudiatory
breach.

Under what circumstance the contract could become unenforceable.
The contract can there by be unenforceable when there is any illegal or void activity is
being taken place. In both these cases the contract is unenforceable. In void contract there is
mainly incompetence of party in framing contract, unlawful object or any happening through
which impossible to frame the contract is arises(Zarrabi, and et. al., 2017).
In this case advise your class what could be the House of Lords ruling on the appeal.
In this case, the rulings made by the House of Lords as their is no contract framed in the
parties. The Council has given the letter will not be an offer as made by corporation so as ready
to make sell of house, and in case of purchase formal application is required. It defines that there
is no offer made by the council hence there will not be any contract in them so Mr. Gibson is not
allowed to sue.
CONCLUSION
From this above report it is concluded that, Business law is the most important factor in
all the areas as it helps out to maintain the laws and the rules through which the work can be
done. Contract is the main source of agreement and all the parties will have to work in the
framework of it. There is a difference in the invitation to treat and offer and no contract can be
framed without intention in the parties.

REFERENCES
Cheng, L.T. and Wang, J.W., 2018. Enhancing learning performance through classroom
response systems: The effect of knowledge in a global economic environment. Journal
of Teaching in International Business, 29(1), pp.49-61.
DuBoff, L.D. and Bryan, A., 2019. The Law (in Plain English) for Small Business. Simon and
Schuster.
Roberts, M., 2017. MWB Business Exchange Centres Ltd: The practical benefit doctrine
marches on. The Modern Law Review, 80(2), pp.339-351.
Senftleben and et. al.,2017. From books to content platforms–New business models in the Dutch
publishing sector. Available at SSRN 2904116.
Zarrabi, and et. al., 2017. Business education for plastic surgeons: a systematic review,
development, and implementation of a business principles curriculum in a residency
program. Plastic and reconstructive surgery, 139(5), pp.1263-1271.