NAME: SM JEHANZEB KHAN Hammad Yousufzai

ID: 01-111192-183 01-111192-030

Contract Act 1872

The Act defines "contract" as an agreement enforceable by law. The essentials of a contract are:

 Intention to create a contract

 Offer and acceptance
 Consideration
 Capacity to enter into a contract
 Free consent of the parties
 Lawful object of the agreement; Writing is not essential for the validity of a contract,
except where a specific statutory provision requires writing. An arbitration clause must
be in writing.

CASE STUDY:
This case study involves the feature of “Intention to create a contract” of the contract law
act 1872.

Carlill v. Carbolic Smoke Ball Co

This case involved the defendant company who produced and advertised smoke balls as a
preventative measure against influenza and the common cold……… The deposit of £1,000 into
an account was a demonstration of the defendants meaning and willingness to……… which the
claimant was due £100.

SUMMARY:
This case involved the defendant company who produced and advertised smoke balls as a
preventative measure against influenza and common cold. The advertisement Stated that they
would gave 100 $ to anyone who used The product for three times a day for two weeks but still
Contracted one of these illness. The defendant also started that they had placed 1000$ in a bank
account to demonstrate their sincerity. Suffice to say that the claimant took up the Challenge and
after roughly 8 weeks of continuous use she Contracted he flu.

Decision/ judgment by appellate court:-

The deposit of 100$ into account was a demonstration of the defendant meaning and willingness
to rely upon There product into light of this challenge. The court has hesitation Is finding in
these specific circumstances that there was a contract under which The claimant was due 100$
While this case demonstrate how the law of contract protects the party Who in consequence can
accept the term forward by the offeror, it remains Something of an anomaly this situation would
Only be enforceable where the offeree was required to undertake a specific task There by
removing the need for communicating acceptance and transfixing and invitation To treat into a
formal offer.

A contract can arose even when the intention was to make an informal offer, but in the
absence of specific statements to that effect, the conduct of the offeror may infer the
requisite legal intension

Reference of the case study:

https://www.ukessays.com/essays/law/contract-law.php