Contract Law

Case • D and P had dinner together. At the end

of the meal, D offered to sell farm to P for $50,000. Two days later, when P demanded D’s performent of the contract. D claimed he was drunk at the time, kidding and P knew that. D thought that there was no contract.

Case • Lucy v.Zehmer (1954)

Definition of Contract• Dictionary definition:• English law• French law• The United States• PICC• CISG• China Contract Law

Form of Contract• Oral or Written• Implied Contract or Express Contract• Bilateral Contract or Unilateral Contract

Formation of Contract

• Elements of a contract• Validity of a contract

Elements of a contract

• Mutual assent :offer,acceptance,counter-offer• Consideration• Intention to create legal relations• Legal Subject

Validity of Contract

• Unfairness and Unconscionability: Minority and Mental Incapacity: Duress Misrepresentation & Concealment: Standardized Forms & unconscionability:

Sherwood v. Walker

Sherwood agreed to purchase a cow named Rose from Walker for $80. The parties believed that Rose was barren and could not breed. Before the cow was delivered, Walker learned that Rose was actually pregnant and would be worth more than $80. Walker refused to deliver Rose. Sherwood sued to enforce the contract.

Further Reading

• Sherwood v. Walker (1887)• Fairmount Glass Works v. Grunden-

Martin Woodenware (1899)• Lefkowitz v. Great Minneapolis Surplus

Store (1957)