Common Contracts
1 similar Contract Formation contracts
AGREEMENT – OFFER AND ACCEPTANCE 2Contract Formation • July 2nd, 2021
Law: when parties disagree on HOW certain terms are to be interpreted, the court may have to decide. Step 1: Can extrinsic materials be used **not always relevant** - Parties may wish to adduce extrinsic evidence to support a certain construction of a term.- However, this is only applicable if the PER does not apply (analyse from above if this applies) Q: When can surrounding circumstances be considered?A: Only in cases of ambiguity (Jireh in HCA)→ Narrow approach: court can only refer to surrounding circumstances to construe terms if there is ambiguity (Codelfa, Botanic Gardens).- Ambiguity = language is “susceptible of more than one meaning” (Royal Botanic Gardens)▪ i.e. not admissible to contradict the language of the contract when it has a plain meaningA: Always → Broad approach: court can consider surrounding circumstances regardless of ambiguity.- Surrounding circumstances = commercial purpose, background, market in which the parties operate The narrow approach prevails in Austra
