Contract Law Case Study Examples

As a professional, I am excited to present an article on “Contract law case study examples”. This article is designed to help law students and professionals understand the application of contract laws in real-life scenarios.

1. Carlill v Carbolic Smoke Ball Company (1893)

This famous case involved the Carbolic Smoke Ball Company, which claimed that their product prevented influenza. The company offered a reward of 100 pounds to anyone who fell ill after using their product. Mrs. Carlill used the Smoke Ball and subsequently fell ill; however, the company refused to pay the reward.

The court ruled in favor of Mrs. Carlill, stating that the offer was a valid contract. This case established the principle of unilateral contracts, which are formed when one party makes an offer that can be accepted through performance.

2. Balfour v Balfour (1919)

This case involved a husband and wife who were living apart, and the husband promised to pay his wife a monthly allowance. However, the couple reconciled, and the wife sued her husband for the unpaid allowance.

The court ruled in favor of the husband, stating that the agreement was a social/domestic agreement and not a legally enforceable contract. This case established the principle that social and domestic agreements are not legally binding.

3. Williams v Roffey Bros (1990)

This case involved a carpenter who had contracted to fit out a block of flats for a fixed price. The carpenter fell behind schedule, and the building contractor feared that he would suffer financial losses. The building contractor promised to pay the carpenter an additional amount if he completed the work on time.

The carpenter completed the work on time, but the building contractor refused to pay the additional amount. The court ruled in favor of the carpenter, stating that the promise to pay the additional amount was a valid consideration. This case established the principle of practical benefit, which means that a promise to pay extra can be a valid consideration if the promise confers a practical benefit.

In conclusion, these contract law case study examples demonstrate the practical application of contract laws. As a law student or professional, it is important to understand these cases and principles in order to navigate the complexities of contract law.