Question 1 Set of problems(4 marks)Topic 3

Examine the following two situations and:

state whether Tony and Brenda intended to be legally bound (just write Yes or No) and

state the rule and the case that best support your decision.

1.Tony and Brenda are very close friends and Tony has promised to give Brenda $50 if she waters his garden for a week while he is overseas.

No

"Courts are reluctant to interfere in social or domestic agreement unless that was the clear intention of the parties" (Sweeney, O'Reilly & Coleman 2016, p. 192).

Balfour v Balfour, [1919] 2 KB 571.

2.Tony and Brenda do not know each other personally and Brenda has responded to an ad that Tony had placed in a newspaper offering to pay $50 to someone who agreed to water his garden.

Yes

In general, in commercial agreements the courts prefer to enforce but if there is a clear evidence illustrates that the parties did not intend a contract, the arrangement will not be binding(Sweeney, O'Reilly & Coleman 2016, p. 193).

Carlill v Carbonic Smoke Ball Co

Rose and Frank Co v J R Crompton & Bros Ltd

Did i do it right ?