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    Contract Offer Part 01

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    Mohd Daud MDMS
    This document provides an overview of the essential elements of a contract under Malaysian law. It discusses: 1. The definition of a contract as an agreement that is legally binding between two or more parties. 2. The eight essential elements that must be present for a valid contract, including offer and acceptance, consideration, intention to create a legal relationship, certainty, legal capacity, free consent, legality of purpose, and any required formalities. 3. The definition of an offer as communicating a person's willingness to do or refrain from doing something in exchange for another's assent. Offers can be express or implied, and made to a specific person or publicly.

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    Contract Offer Part 01

    Uploaded by

    Mohd Daud MDMS
    12 views19 pages
    This document provides an overview of the essential elements of a contract under Malaysian law. It discusses: 1. The definition of a contract as an agreement that is legally binding between two or more parties. 2. The eight essential elements that must be present for a valid contract, including offer and acceptance, consideration, intention to create a legal relationship, certainty, legal capacity, free consent, legality of purpose, and any required formalities. 3. The definition of an offer as communicating a person's willingness to do or refrain from doing something in exchange for another's assent. Offers can be express or implied, and made to a specific person or publicly.

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    Contract Offer Part 01

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    This document provides an overview of the essential elements of a contract under Malaysian law. It discusses: 1. The definition of a contract as an agreement that is legally binding between two or more parties. 2. The eight essential elements that must be present for a valid contract, including offer and acceptance, consideration, intention to create a legal relationship, certainty, legal capacity, free consent, legality of purpose, and any required formalities. 3. The definition of an offer as communicating a person's willingness to do or refrain from doing something in exchange for another's assent. Offers can be express or implied, and made to a specific person or publicly.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    12 views19 pages

    Contract Offer Part 01

    Uploaded by

    Mohd Daud MDMS
    This document provides an overview of the essential elements of a contract under Malaysian law. It discusses: 1. The definition of a contract as an agreement that is legally binding between two or more parties. 2. The eight essential elements that must be present for a valid contract, including offer and acceptance, consideration, intention to create a legal relationship, certainty, legal capacity, free consent, legality of purpose, and any required formalities. 3. The definition of an offer as communicating a person's willingness to do or refrain from doing something in exchange for another's assent. Offers can be express or implied, and made to a specific person or publicly.

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    LAW OF CONTRACT

    PART 01
    What is
    Contract?
    • Agreement between 2 or more parties
    that legally binding between them.
    • S.2 (h) of the Contracts Act 1950-….
    “An agreement enforceable by law”
    • Essential Elements of the Contract:
    1. Offer & Acceptance
    2. Consideration
    3. Intention to create legal relation
    4. Certainty
    5. Legal capacity
    6. Free Consent
    7. Legality of the Objects
    8. Required Formalities.
    1. OFFER
    Offer

    Definition s2(a) CA
    Communication of offer
    s. 4 (1) of CA

    ITT
    Revocation of offer
    • An offer is a proposal

    • Once it is accepted, it creates a legally


    binding agreement

    • A person who makes an offer is called


    an offeror or promisor

    • A person to whom the offer is made is


    called an offeree or promisee
    Definition of an offer
    • Section 2 (a) of CA 1950

    S.2(a) – when one person signifies to


    another his willingness to do or to
    abstain from doing anything, with a
    view to obtaining the assent of that
    other to the act or abstinence, he is
    said to make a proposal.
    Definition of an offer
    • Example:

    A, by offering to buy B’s car for RM


    20,000 in the hope that B will accept

    MAKING OFFER/ PROPOSAL


    Types of Offer
    • An offer maybe:

    ❑ express
    (verbally or in writing i.e. : agreement).

    ❑ implied
    (one's act or behaviour).
    Types of Offer

    • Section 9 of CA:

    • If an offer is made in word or writing it is


    said to express.
    • If an offer is made by one act or
    behavoiur it is said to be implied.
    To Whom Offer can be made ?

    1) Specific

    2) General/ Public
    1) Specific

    ✓Addressed to specific person


    ✓Only the addressee may accept the
    offer
    ✓Who is not addressee, cannot make
    the acceptance
    Boulton v Jones
    • Jones (D) normally had some business deal
    with Brocklehurst. D offered to buy some
    goods from Brocklehurst, but on the day the
    order was sent, Brocklehurst had sold his
    company to P.
    • The P did not inform the D that the business
    had changed hands. When the D knew the
    goods had not come from Brocklehurst , he
    refused to pay for the goods.
    • Held:

    • D was not liable to pay for the goods.


    • No contract between the P and the D.
    Because the P had no right to accept the
    offer which is not addressed to him.
    1) Public/General

    ✓Addressed generally to any one who may


    satisfy all the terms or conditions
    stipulated by the offeror.
    ✓One who satisfies all the terms of the
    offer is considered as making acceptance.
    ✓Then, the offeror is bound to the
    contract.
    Carlill v Carbolic Smoke Ball
    ⚫ the D issued an advertisement in which they
    offered to pay 100 pound to any person who
    suffered from influenza after having used one of
    their smoke balls.
    ⚫ The P bought and used the smoke ball and
    caught influenza. She sued the company for the
    promised reward.
    ⚫ The D refused to pay because he argued that
    one cannot make an offer with entire world.
    ⚫ The court held that:

    the D has to pay the reward to P as an offer can


    be made to the entire world.
    Continue to Part 02

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