Topic 4 - Intention Revision

In commercial agreements, what is the general presumption regarding legal intention?

• They are intended to be legally binding

• They are always void unless signed by a lawyer

• They are only enforceable with a witness

• They require a moral obligation to be valid

How can the presumption of intention in commercial agreements be rebutted?

• By showing the contract was handwritten

• By proving that the agreement was made under duress

• By including an express clause stating that it is not legally binding

• By having only one party sign the agreement

Which case demonstrated that a commercial agreement can exclude legal intention with an express clause?

• Balfour v Balfour

• Merritt v Merritt

• Rose & Frank Co v J R Crompton & Bros Ltd

• Welch v Jess

What type of clause was used in Jones v Vernon's Pools Ltd to exclude legal intention?

• "Binding in honour only"

• "Legally enforceable"

• "Mutually agreed upon"

• "Subject to future negotiation"

In family or social agreements, what is the general presumption about legal intention?

• They are automatically legally binding

• They are not intended to be legally binding

• They are only binding if both parties are related

• They are more enforceable than commercial agreements

In which case did a wife unsuccessfully sue her husband for failing to pay her an agreed sum?

• Merritt v Merritt

• Rose & Frank Co v J R Crompton & Bros Ltd

• Welch v Jess

• Balfour v Balfour

What was the key factor in determining legal intention in Merritt v Merritt?

• The couple was still married at the time

• The agreement was made after separation

• The agreement was oral, not written

• The wife signed under duress

In Welch v Jess, why was the agreement considered legally binding?

• It was a written contract

• The friends had a long-term business partnership

• The agreement involved a significant sum of money and a commercial context

• The contract was notarized

What is the significance of the dividing line between commercial and social agreements?

• It is clearly defined in all cases

• It determines whether an agreement is enforceable in court

• It is irrelevant in modern contract law

• It applies only to contracts worth more than $1000

Which of the following best describes the concept of "intention to create legal relations"?

• A requirement that all contracts be signed by both parties

• A requirement that both parties agree their contract should be legally enforceable

• A requirement that contracts be drafted by a lawyer

• A requirement that all contracts include financial compensation