Lecture 6B FORM OF A CONTRACT

Form of a contract
Must contracts have only to be in writing and signed by both parties?
No, as long as three essential elements of a contract (offer, acceptance, consideration and the intention to create legal relations) are present and a contract of sale has been formed. For example, a customer in a self service shop may take his selected goods to the cash desk, pay for them and walk out without saying a word.
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Form of a contract
Written contract is not usually necessary unless related to one of the following:
Some contracts must be by deed Some contracts must be in writing Some contracts must be evidenced in writing
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Form of a contract
Contracts by deed
Under s1 Law of Property (Miscellaneous Provisions) act 1989, contracts relating to the transfer of land must be by deed, in writing, signed and witnessed. Delivery is conduct indicating that the parties intend to be bound by the contract. Contracts which must be by deed include the following: Leases for three years or more A conveyance or transfer of a legal estate in land Promise not supported by consideration e.g. payments to charity Contracts made by deed are also referred to as specialty contracts
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Form of a contract
Contracts which must be in writing
Some types of contract are required to be in the form of a written document, usually signed by at least one of the parties. Contracts which must be in writing include the following:
A transfer of shares in a limited company The or disposition of an interest in land Bills of exchange and cheques Consumer credit contracts
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Form of a contract
Contracts which must be evidenced in writing
Certain contracts may be made orally, but are not enforceable in a court of law unless there is written evidence of their terms. The most important contract of this type is the contract of guarantee. A signed note of the material terms of the contract is sufficient.
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