DECEMBER 2014 EXAMINATION FACULTY OF LAW LAW...
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THIS EXAMINATION CONSISTS OF THREE (3) PAGES PLEASE ENSURE THAT YOU HAVE A COMPLETE PAPER THE UNIVERSITY OF BRITISH COLUMBIA FACULTY OF LAW DECEMBER 2014 EXAMINATION LAW 211 Contract Law Section 2 Professor Biukovié TOTAL MARKS: 100 TIME ALLOWED: 1 HOUR and 15 minutes reading time NOTE: 1. This is a LIMITED OPEN BOOK examination. You may use only a CLEAN copy of the syllabus and case chart provided to you in the exam. 2. If you think that additional facts are necessary to answer any question fully, please state those facts and explain why they are necessary. 3. Please write legibly. THIS EXAMINATION CONSISTS OF ONE QUESTION.
Transcript of DECEMBER 2014 EXAMINATION FACULTY OF LAW LAW...
THIS EXAMINATION CONSISTS OF THREE (3) PAGESPLEASE ENSURE THAT YOU HAVE A COMPLETE PAPER
THE UNIVERSITY OF BRITISH COLUMBIAFACULTY OF LAW
DECEMBER 2014 EXAMINATION
LAW 211Contract Law
Section 2Professor Biukovié
TOTAL MARKS: 100
TIME ALLOWED: 1 HOUR and 15minutes reading time
NOTE:
1. This is a LIMITED OPEN BOOK examination. You may useonly a CLEAN copy of the syllabus and case chart providedto you in the exam.
2. If you think that additional facts are necessary to answerany question fully, please state those facts and explain whythey are necessary.
3. Please write legibly.
THIS EXAMINATION CONSISTS OF ONE QUESTION.
LAW 211, Section 002 Page 2/3
Marks: 100
1. Marcia is a 76 year old widow and a retired UBC librarian. She has abig house in East Vancouver, in Mount Pleasant. She is quite lonelysince her husband died and her children moved to interior BC to livewith their own families. Most of the days she thinks about selling herhouse and moving to a smaller place.
Marcia relies on other people to maintain the house and to keep upwith her daily routine. One of Marcia’s neighbours, Tony, a 1L at UBCLaw, cleans her house monthly and runs small errands twice amonth, for which she pays him $400.00 every month. Even thoughMarcia and Tony never signed a contract, Marcia gave him a pair ofkeys to her house and let him use her car to go shopping for her.
On April 1, 2014, Marcia mentions to Tony that she is worried abouther wonderful garden because her hands are not strong enough tomaintain it:
“Sadly, that’s my only hobby, Tony, and I am now too old for it.”
“Marcia, don’t worry,” replies Tony. “I’ll work on your gardenwhen I have a bit more time. I am very busy now because I haveseveral final exams and I really want to do well.”
The following day, Marcia went to Kamloops, BC, to visit her son andto celebrate her grandson’s third birthday. When she returns home toVancouver on May 8, 2014, she finds that Tony not only cleaned herhouse, but also did a lot of gardening. She notices several new plantsin the front yard. Even her boxwood looks completely new, althoughTony just gave it a little boost with a new layer of fertilizer. Marcia isboth stunned by Tony’s skilled gardening and happy with the resultsof his work and promises to pay him $250.00 for the work on thegarden in addition to her usual monthly payment to him for cleaningand shopping for her.
On May 15, 2014, Marcia receives in the mail an invoice from GreenWonder Nursery asking her to pay almost $300.00 for all the suppliesTony took for her garden. She immediately phones Tony to ask aboutan invoice but only manages to reach his voice mail and to leave amessage.
Without returning Marcia’s call at all, Tony mails her back her homeand car keys. Marcia decides not to pay Tony for any work he did inMay while she was in Kamloops.
LAW 211, Section 002 Page 3/3
Considering only the common law rules that you have studied in yourContract Law class:
A) advise Marcia regarding her relations with Tony and GreenWonder Nursery. Do you think that she needs to pay Tony and thenursery?
B) Imagine the following scenario: Tony buys supplies from GreenWonder Nursery with his own money and phones Marcia asking toreimburse him. However, he only manages to leave her a voicemailexplaining that she owes him almost $300.00. He also says that hewill be happy to continue cleaning her home for $400.00 permonth. Marcia calls back only to leave him a voice mail asking himto return her keys as soon as possible. Apparently, she has hired acompany that provides services to senior citizens and will notneed to bother Tony with her problems anymore. She refuses topay Tony for any work done in May while she was away. ExplainTony his position vis-à-vis Marcia and Green Wonder Nursery.
THE END OF EXAMINATION
LAW 211.002: Contract LawSyllabus and Outline 2014/2015
Professor: Ljiljana BiukoviéClass schedule: Tuesdays & Thursdays 11:00 — 13:30Classroom: #122 AlIard HallOffice: #454 Allard HallOffice hours: Mondays & Wednesdays 1 - 2 pm
(other times by appointment)Telephone: 604-822-0312E-mail: [email protected]: Iris Lee ([email protected])
Course description and objectives:
The aim of this course is to introduce the basic concepts that underlie contractualobligations and to examine contract law in Canada in its social and political context.While the focus is primarily on common law, different ideas on which contract law isfounded in civil law in Quebec are also discussed. The main objective of the course is toenable students to acquire basic legal skills to competently identify, analyze, synthesizeand apply the law of contract. Students will learn to analyze and evaluate judicialopinions, statutory provisions and contractual clauses.
In the first term (September-December 2014), the objectives are to help studentsunderstand the relationship between contract law and other categories of obligationsrecognized by the common law (tort and restitution), to familiarize them with differentfunctions of contract law, and to introduce them to the key concepts of contractformation, such as an agreement between the parties, certainty, intention to create legalobligation, consideration, and privity.
In the second term (January-April 2015), the focus is on interpretation of contractualobligations and on remedies for breach of contract. The objectives are to enable studentsto distinguish terms of the contracts from representations and puffs, to understand theimportance and consequences of classification of terms of the contract, to learn when andwhy terms will be implied into a contract, and to understand consequences of non-performance of contractual obligations.
Course materials (required):
• Stephanie Ben-Ishai and David Percy, Contracts: Cases and Commentaries, 8th
ed. (Toronto: Carswell, 2009)• Biukovic, Supplementary Materials (Connect course web page TBA)
NOTE: CASES AND READINGS ARE SUBJECT TO ADDITIONS,DELETIONS AND REORDERING WHICH WILL BE ANNOUNCED IN CLASS
Other sources (Law Library):
• B. MacDougall, Introduction to Contracts (LexisfNexis Canada, 2012)
• McCamus, The Law of Contracts, 2m1 ed. (Toronto: Irwin Law, 2012)
• Waddams, McCamus, Waidron, Neyers and Girgis, Cases and Materials on
Contracts, 5” ed. (Toronto: Edmond Montgomery Publications, 2014)
• Swan, Canadian Contract Law, 2d ed. (Lexis/Nexis Canada, 2010)
The Law Library collection related to common law of contracts includes many valuable
casebooks and textbooks which could be used for further readings (Anson ‘s Law of
Contract, Cheshire, Ffoot and Furmston ‘s Law of Contract, Chitly on Contract, or
Treitel on Law of Contract). NOTE: The US materials available in the Law Library are
based on primarily US case law, the Restatement of Contracts and Uniform Commercial
Code (UCC). The Restatements (Second) of Contracts were drafted by the American Law
Institute and they summarize in statute-like form the major common law rules on
contracts. The UCC is statutory law that covers contracts for the sale of goods and is
applicable only in the US.
Key dates:
September 2, 2014November 27, 2014December 17, 2014January 6, 2015February 16-20, 2015April 9, 2015April 22, 2015
First Contracts class I termLast Contracts class I termDecember examination (1:30 pm)First Contracts class II termMidterm breakLast Contracts class II termFinal examination (1:30 pm)
NOTE: CASES AND READINGS ARE SUBJECT TO ADDITIONS, 2
DELETIONS AND REORDERING WHICH WILL BE ANNOUNCED IN CLASS
COURSE SYLLABUS
Note: All cases are available in Ben-Ishal & Percy (8th edition) and the on-lineSupplement
INTRODUCTION TO THE STUDY OF THE LAW OF CONTRACT
Boyle&Percy 1-15
II. FORMATION OF THE CONTRACT
1. Offer, invitation to treat, tenders, communication of offer
Canadian Dyers Ass. Ltd. v. Burton 18
Pharmaceutical Society v. Boots 20
Carlill v. Carbolic Smoke Ball Co. 25
Goldthorpe v. Logan 30
Harvela Investments Ltd. v. Royal Trust Co of Canada 33
R. v. Ron Engineering & Construction (Eastern) Ltd. 35
M.J.B. Enterprises Ltd. v. Defence Construction (1951) Ltd. 38
Double N Earthmovers Ltd v. City ofEdmonton, 2007 SCC 3http://scc.lexurn.org/en/2007/2007scc3/2007scc3.htm1 (Supp.)Williams v. Carwardine 50
R. v. Clarke 51
2. Acceptance, communication of acceptance, electronic contracts
Livingstone v. Evans 54
Butler Machine Tool v. Ex-cell-o Corp. 56
Carlill v. Carbolic Smoke Ball Co. 25
Dawson v. Helicopter Exploration Co. 66
Felthouse v. Bindley 72
Saint John Tug Boat Co. v. Irving Refinery Ltd. 75
TimberwolfLog Trading Ltd v Columbia National Investments Ltd. (Supp.)http://www.courts.gov.bc.calidb-txtJSC/11/08/2011 BCSCO864corI .htm
Household Fire v. Grant 81
Hoiwell Securities v. Hughes 85
Brinkibon v. Stahag Stahl 88
Rudder v. Microsoft Corp. 93
Century 21 Canada Ltd. v Rogers Communications Inc., 2011 BCSC 1196 (Supp.)httjx//www.canl ii.org/en/bc/bcsc/doc/20 11/201 I bcsc 1196/2011 bcsc 11 96.html
Electronic Transaction Act [SBC 2001] C.10 - ss. 11 & 15 (Supp.)httn://wwwhc1wsc)EPTihrries/hc1aws newk1nciimenrJTfl/freeside/00 01010 01
NOTE: CASES AND READINGS ARE SUBJECT TO ADDITIONS, 3
DELETIONS AND REORDERING WHICH WILL BE ANNOUNCED IN CLASS
3. Termination of Offer: revocation, rejection and counter-offer, lapse of time; problemswith unilateral contracts
Dickinson v. Dodds 97Byrne v. Van Tienhoven 100Errington v. Errington and Woods 102Carlill v. Carbolic Smoke Ball Co. 25Livingstone v. Evans 54Dawson v. Helicopter Exploration Co. 66Barrick v. Clark 103
4. Certainty of Terms; vagueness, incompleteness, agreements to negotiate, anticipation offormalization
R. v. CAE Industries Ltd. 114May &Butcherv.R. 119Hillas v. Arcos 122Foley v. Classique Coaches Ltd. 126Sale of GoodsAct ss. 12 & 13 - Ascertainment of price (Supp.)http://www.bclaws.ca/EPLibraries/bclaws new/document/ID/freeside/00 96410 01Empress v. Bank ofNova Scotia 131Mannpar Enterprises Ltd. v. Canada 134Bawitko Investments Ltd v. Kernels Popcorn Ltd. 145Wallace v. Allen, 2009 ONCA 36 (Supp.)http://www.canhii .org/en/on/oncaldoc/2009/2009onca36/2009onca36.html
5. Consideration: nature of consideration, past consideration, forbearance, pre-existingduty
The Governors ofDaihousie College v. the Estate ofArthur Boutilier 156Thomas v. Thomas 169Eastwood v. Kenyon 166Lampleigh v. Brathwait 168Pao On v. Lau Yiu Long 173Stilk v. Myrick 177Gilbert Steel v. University Construction Ltd. 178Williams v. Roffey Bros. 182Greater Fredericton Airport Authority Inc. v. NAV Canada 186Foakes v. Beer 192Re Selectmove 195Foot v. Rawlings 197Law and EquityAct (R.S.B.C. 1996, c. 253)s. 43 (Supp.)http://www.bclaws.ca/EPLibrariesfbclaws new/documentllD/freeside/00 96253 01
6. Waiver and Promissory Estoppel
Hughes v. Metropolitan Railway Company 201Central London Property v. High Trees House 203John Burrows v. Subsurface Surveys 205D &CBuilders v. Rees 208
NOTE: CASES AND READINGS ARE SUBJECT TO ADDITIONS, 4DELETIONS AND REORDERING WHICH WILL BE ANNOUNCED IN CLASS
Combe v. Combe 224Walton Stores v. Maher 230M.(N.) v.A.(T.A.) 239
7. Intention to Create Legal Obligation
Balfour v. Balfour 243Rose and Frank v. JR. Crompton Bros. 246TD Bank v. Leigh Instruments Ltd. 247
8. Formality: The Requirement of Writing
Dynamic Transport Ltd. v. O.K Detailing Ltd. 258Deglman v. Guaranty Trust Co. 262
III. PRIVITY OF CONTRACT
Tweddle v. Atkinson 276Dunlop PneumaticTyre Co. v. Selfridge & Co. Ltd. 277Besweck v. Beswick 283
London Drugs Ltd. v. Kuehne & Nagel International Ltd. 298Fraser River Pile & Dredge Ltd. v. Can-Dive Services 310
IV. CONTENT OF THE CONTRACT
1. Representations and Terms: 1’lisrepresentation and Rescission: Parol EvidenceRule and Rectification; Classification of Terms
Redgrave v. Hurd 355Smith v. Land & House Property Corporation 359Kupchak v. Dayson Holdings 363Hielbut, Symons & Co. v. Buck!eton 371Leaf v. International Galleries 378Sodd Corp. v. N. Tessis 392B.G. Checo Int’l Ltd. v. B.C. Hydro 395No. 2002 Taurus Ventures Ltd. V. Intrawest Corp. (Supp.)http://courts. gov.bc.caljdb-txt/caJO7/02/2007bcca0228.htmHawrish v. Bank ofMontreal 412Bauer v. Bank ofMontreal 415Gallen v. Butterley 422Hong Kong Fir v. Kawasaki Kisen Kaisha Ltd 436Wickman v. Schuler 443Business Practice and Consumer Protection Act (Supp.)http:llcourts.gov.bc.ca/jdb-txtlca/07/02/2007bcca0228.htm
2. Discharge by Performance or Breach
Jedfro Investments (USA) Ltd. V. Jacyk (Supp.)http://scc.1exurn.org/en/2007/2007scc55/2007scc55.htm1
NOTE: CASES AND READINGS ARE SUBJECT TO ADDITIONS, 5DELETIONS AND REORDERING WHICH WILL BE ANNOUNCED IN CLASS
Fairbanks v. Sheppard 450Sumpter v. Hedges 454Howe v. Smith 455Stevenson v. Colonial Homes Ltd. 457
3. Standard Form Contracts; Interpretation; Incorporation of Terms; Exclusion andLimitation of Liability Clauses
Machtinger v. Hoj Industries Ltd. 463Thornton v. Shoe Lane Parking Ltd. 478McCutcheon v. David MacBrayene Ltd. 488Tilden Rent-A-Car CO. v. Clendenning 492Karroll v. Star Mountain Resorts Ltd. 496Kanitz v. Rogers Cable Inc. (Supp.)http://www.canl ii .or/en/on/onsc/doc/2002/2002can1ii494 1 5/2002can11i494 15 .htmlSilverTercon Contractors Ltd. v. BC (Transportation and Highways) (Supp.)http://scc.lexum.org/en/200scc4/20l0scc4.htm1Loychuk v. Cougar Mountain Adventures [2012] BCCA 122 (Supp.)http://canl ii.calen/bc/bccaldoc/20 12/201 2bcca 122/201 2bcca I 22.html
V. EXCUSES FOR NON-PERFORMANCE
1. Mistake (TBC)
Smith v. Hughes 546Bell v. Lever Brothers Ltd. 560McRae v. Commonwealth Disposals Commission 565Solle v. Butcher 571Great Peace Shipping v. Tsavliris Salvage Ltd. 574Miller Paving v. Gottardo 579Sylvan Lake Golf & Tennis Club v. Performance Industries Ltd. 604
2. Frustration (TBC)
Paradine v. Jane 620Taylor v. Caldwell 621KBKNo. 138 Ventures Ltd. v. Canada Safeway Ltd. 636
VI. THE PROTECTION OF WEAKER PARTIES: DURESS, UNDUE INFLUENCE,UNCONSIONABILITY
Pao On v. Lau Yiu Long 173Greater Fredericton Airport Authority Inc. v. NAV Canada 666Geffen v. Goodman Estate 680Royal Bank of Scotland Plc. v. Etridge (no. 2) 688Morrison v. Coast Finance Ltd. 697Marshall v. Can. Permanent Trust Co. 701Harry v. Kreutziger 709Business Practices and Consumer Protection Act (S.B.C. 2004, c.2) ss. 4-10 (Supp.)http://www.bclaws.ca/EPLibraries/bclaws new/document/ID/freeside/04002 00
NOTE: CASES AND READINGS ARE SUBJECT TO ADDITIONS, 6DELETIONS AND REORDERING WHICH WILL BE ANNOUNCED IN CLASS
VII. ILLEGALITY AND PUBLIC POLICY
Still v. Minister ofNational Revenue 762Shafron v. KRG Insurance Brokers (Western) Inc. 730
VIII. REMEDIES
Damages: interest protected, quantification, certainty, causation and remoteness,mitigation, time of measurement
McRae v. Commonwealth Disposals Commission 793Sunshine Vacation Villas Ltd. v. Hudson Bay Co. 801Attorney General v. Blake 805Chaplin v. Hinks 814Groves v. John Wunder Co. 816New West Homes Ltd. v. Thunderbird Petroleums Ltd. 821Jarvis v. Swans Tours 825Hadley v. Baxendale 858Victoria Lzundiy v. Newman 861Koufos v. Czarnikow (The Heron II) 868Semeihago v. Paramadevan 879Southcott Estates Inc. v. Toronto Catholic District School Board (Supp.)http://scc. lexurn.org/decisia-scc-csc/scc-csc/scc-csc/enhI 2612/1 /document.do
2. Aggravated and Punitive Damages
Whiten v. Pilot Insurance Co. 846Fidler v. Sun Life Assurance (Supp.)http://scc.1exum.org/en/2006/2006scc30/2006scc30.htmlHonda v. Keays (Supp.)http://scc.lexum.org/en/2008/2008scc39/2008scc39.htmlRBC Dominion Securities Inc. v. Merrill Lynch Canada Inc. (Supp.)http://www.can1ii.org/en/caJscc/doc/2008/2008scc54/2008scc54.pdf
3. Liquidated Damages, Deposits and Forfeitures
Shatilla v. Feinstein 885H.F. Clarke Ltd. v. Thermadaire Corporation Ltd. 889J. G. Collins Insurance Agencies Ltd. v. Esley 896Stockloser v. Johnson 898Super Save Disposal Inc. v. Blazin Auto Ltd. (Supp.)http://www.courts.gov.bc.calidb-txtJSC/1 1/17/2011 BCSC I 784.htm
4. Equitable Remedies (Specific Performance, Injunctions, Rectification)
John E. Dodge Holdings Ltd. v. 805062 Ontario Ltd. 904Warner Bros. v. Nelson 910
NOTE: CASES AND READINGS ARE SUBJECT TO ADDITIONS, 7DELETIONS AND REORDERING WHICH WILL BE ANNOUNCED IN CLASS
Zipper Transportation v. Korstrom 916
Zipper Transportation v. Korstrom 917
Shafron v. KRG Insurance Brokers (Western) Inc. 730
NOTE: CASES ANTI READINGS ARE SUBJECT TO ADDITIONS, 8
DELETIONS AND REORDERING WHICH WILL BE ANNOUNCED IN CLASS
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vela
Inve
stm
ents
Ltd
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Roy
alpr
esum
edin
tent
ion
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ese
ller
asde
duce
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omth
eex
pres
spr
ovis
ions
ofth
ein
vita
tion
to
bid
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invi
tati
onfo
rth
esu
bmis
sion
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ffer
s”w
ashe
ldto
bean
invi
tatio
nfo
ra
“fix
ed”
Form
atio
n:O
ffer
&
[9]
Tru
stC
o.ofC
anad
abi
d).
Invi
tati
onto
Tre
at[1
986]
A.C
.20
7,[1
985]
2A
llE
.R.
•T
hele
Ral
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reoft
hein
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tera
l con
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fer
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est
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tera
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ase
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ess
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rmat
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his
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ysis
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ers
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tati
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ntia
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tom
ake
offe
rs.
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isth
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fer
and
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rw
hich
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ffer
&R
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eco
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epar
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nof
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bid;
Invi
tati
onto
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at[1
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onst
ruct
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tern
)L
td.
[198
1]1
S.C
.R.
111,
13B
.L.R
.72
cons
eque
nce
offo
rmat
ion
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ntra
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abil
ity
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e-
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omth
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ran
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erer
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vita
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nder
may
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ract
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t A),
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ligat
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ract
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ente
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nder
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trac
t B).
But
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isal
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sion
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fthe
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eris
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lid).
M.J
.B.
Ent
erpr
ises
Ltd.
v.D
efen
ce•
The
invi
tatio
nfo
rte
nder
sm
aybe
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acte
rize
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fer
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era
tend
er,
ifth
atFo
rmat
ion:
Off
er&
[11]
Con
stru
ctio
n(1
951)
Ltd
)te
nder
isva
lid.
Invi
tati
onto
Tre
at
[199
9]1
S.C
.R.
619
•T
hesu
bmis
sion
ofth
ete
nder
isgo
odco
nsid
erat
ion
ofth
eow
ner’
spr
omis
e,as
the
tend
er-
tend
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was
ofbe
nefi
t to
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owne
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epar
edat
ano
tan
insi
gnif
ican
t cos
tan
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com
pani
edby
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bid
secu
rity
.•
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priv
ile’
ecl
ause
ison
lyon
ete
rmof
cont
ract
Aan
dm
ustb
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adin
harm
ony
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ete
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men
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liga
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lyac
cept
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pliw
it
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tyto
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ther
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dis
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plia
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ble
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Ear
thm
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sL
td.
City
tolo
okbe
yond
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face
ofth
ebi
dto
ensu
reco
mpl
ianc
e;it
only
has
adu
tyto
trea
tal
lbi
dsF
oti
on:
Off
er&
[12]
ofE
dmon
ton,
2007
SCC
3fa
irly
and
equa
llyIn
vita
tion
toT
reat
.W
hen
anow
ner
acce
pts
aco
mpl
iant
bid
and
ente
rsin
toC
ontr
actB
onth
ete
rms
set
out
in-
tend
ers
the
tend
erdo
cum
ents
,C
ontr
act
Ais
fully
disc
harg
edan
dan
owne
rha
sno
any
furt
her
oblig
atio
ns_t
o_un
succ
essf
ul_b
idde
rs
[13]
Liv
ings
tone
v.E
vans
•A
nof
fer
that
has
been
reje
cted
isth
ereb
yen
ded
and
itca
nnot
beaf
terw
ards
acce
pted
Form
atio
n:
[192
5]3
W.W
.R.
453,
[192
5]4
with
out
the
cons
ent
ofth
eon
ew
hom
ade
it.A
ccep
tanc
e—
2
[Law
IC
ase
Rul
eT
opic
[fijt
kovi
cD
.L.R
.76
9(A
ltaS.
C.)
•A
coun
ter-
offe
ris
are
ject
ion
oft
heor
i’in
alof
fer.
am
ere
inqu
iry
isno
t,co
unte
r-of
fer;
•If
an
off
ero
rre
pli
es
toth
ere
ject
ion,
the
reply
(“ca
nnot
red
uce
pri
ce”)
may
am
ou
nt
toa
reje
cti
on
and
renew
al
of
the
off
er.
Th
ean
swer
isd
ep
en
den
tu
po
nco
nsi
deri
ng
all
surr
ou
nd
ing
co
un
ter
off
er
cir
cum
stances.
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ord
er
toav
oid
pro
ble
ms
wit
hco
ntr
act
form
ati
on
(and
revocati
on
of
off
er)
court
ssh
ou
ld
treat
off
ers
“as
call
ing
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ate
ral
rath
er
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ilate
ral
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on
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en
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e
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rued
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ce
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ssly
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en
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qu
est
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eth
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orm
ati
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:off
er
[141
Daw
son
v.H
elic
opte
rExp
lora
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amou
nts
toac
cept
ance
will
bea
mat
ter
ofco
nstr
ucti
onof
the
cour
tw
hich
may
inclu
de
and
accepta
nce;
Co.
[195
5]S.
C.R
.86
8ta
kin
gin
toco
nsi
dera
tio
nco
nd
uct
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accep
tor
Un
ilate
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and
•A
lth
ou
gh
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late
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ract
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ero
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contr
ols
condit
ions
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en
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orm
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ord
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etr
adit
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rmula
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luti
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form
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tify
ing
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lp
oss
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rcourt
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But
lerM
achi
neT
oolv
.E
x-ce
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Las
t sho
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ntr
act
isco
nclu
ded
up
on
the
term
so
fth
ela
std
ocu
men
tse
nt
by
one
of
the
Fo
rmati
on
:
[15]
Cor
p.part
ies
that
was
not
ob
jecte
dto
;2.
Fir
stsh
ot:
aco
ntr
act
isco
nclu
ded
up
on
the
term
sof
the
Accep
tan
ce
—
[197
9]1
W.L
.R.
401,
1A
llE
.R.
firs
tdocum
ent;
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llsh
ots
coun
tand
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tdis
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rits
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ject
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ter-
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r;
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.)ba
sis:
A)
aco
ntr
act
isco
nclu
ded
up
on
term
sdr
awn
from
all
the
do
cu
men
tsth
at
hav
eba
ttle
offo
rms
pass
ed
betw
een
the
part
ies
wh
en
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term
scan
be
reconcil
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asto
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ea
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onio
usre
sult
,
or
B)_
a_co
ntr
act_
is_not
co
nclu
ded
_si
nce_
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dif
fere
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are
_ir
reco
ncil
ab
le.
.S
ilen
ce
do
es
not
amou
ntto
accepta
nce.
Fei
thou
sev.
Bin
dley
•E
ven
tho
ug
hth
en
ep
hew
(sell
er)
mig
hth
av
ein
ten
ded
tose
ll,
he
nev
er
co
mm
un
icate
dth
isF
orm
ati
on
:
[17]
(196
2)11
C.B
.(N
.S.
869,
142
E.R
.in
ten
tio
nto
his
uncle
(buyer)
.C
omm
unic
atio
nof
1037
(Ex.
Cli.
)•
Ing
en
era
l,th
eo
ffero
ris
incontr
ol
of
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mo
de
of
accepta
nce
but
the
court
sare
relu
cta
nt
toA
ccep
tan
ce
all
ow
sile
nce
tob
esp
ecif
ied
asth
em
ode
of
accepta
nce.
..
•T
he
co
nd
uct
of
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off
ere
e,
un
acco
mp
an
ied
by
any
verb
al
or
wri
tten
un
dert
ak
ing
,co
uld
Fo
rmati
on
:
Sai
ntJo
hnT
ugB
oat
Co.
V.Ir
ving
..
..
.
[18]
Ref
iner
yL
td.
[196
4]S.
C.R
.61
4un
der
cert
amcir
cu
mst
an
ces
(fo
rexam
ple
,co
ntm
um
gse
rvic
ed
on
term
sp
rev
iou
sly
ag
reed
)C
om
munic
ati
on
of
be
reaso
nably
co
nst
ructe
das
vali
daccep
tan
ce
Accep
tan
ce
.W
hen
there
was
no
wri
tten
co
ntr
act
betw
een
the
part
ies
the
court
had
tore
vie
wall
co
mm
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icati
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ora
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em
en
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well
asto
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Tim
berw
olf L
ogT
radi
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their
conducts
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er
the
rele
vant
peri
od
of
tim
eand
inth
econte
xtof
apa
rtic
ular
indu
stry
Fo
rmati
on
:
[19]
Col
umbi
aN
atio
nal
Inve
stm
ents
Ltd.
(BC
loggin
gin
du
stry
)C
omm
unic
atio
nof
2011
BC
SC86
4•
Held
that
“w
here
one
part
yre
pre
sen
tsth
roug
hco
nd
uct
and
sile
nce
that
aco
ntr
act
has
been
Accep
tan
ce
form
ed
soas
tole
ad
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oth
er
part
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reaso
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lyconclu
de
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such
isth
ecase
,th
at
the
law
_fm
ds
aco
ntr
act_
to_hav
e_bee
nfo
rmed
”._[p
ara.
_116]
..
..
..
Fo
rmati
on
:
Bri
nkin
bon
v.S
taha
gS
tahl
•T
he
box
rule
(th
eco
ntr
act
isconclu
ded
where
and
when
the
accep
tan
ce
ism
ail
ed
)
[21]
[198
3]2
A.C
.34
[198
2]1
All
E.R
.ap
pli
es
only
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nce
by
isre
quir
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at
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ess
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ce
Of
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ade
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and
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211.
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ase
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eT
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trac
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ntra
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mad
ew
hen
and
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rmat
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seho
ldF
ire
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rant
pan
das
aco
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uenc
eth
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fero
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und
byth
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fer
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ghac
cept
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was
Com
mun
icat
ion
of[2
2](1
879)
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x.D
,21
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.A.)
notr
ecei
ved.
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maj
ority
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post
offi
ceto
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eag
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thpa
rtie
s.T
hedi
ssen
tA
ccep
tanc
e—
reje
cted
this
and
appl
ied
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pien
t rul
e.m
aile
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cept
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iwel
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itie
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ldon
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ply
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orm
atio
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absu
rdity
”.C
omm
unic
atio
nof
[23]
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4]1
W.L
.R.
155,
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llE
.R16
1(C
.A.)
•T
hepo
stal
rule
does
not
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ecif
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Acc
epta
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mus
t rea
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fero
r.T
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emen
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voke
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reci
pien
t rul
e.m
aile
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cept
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erm
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aco
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tere
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rsFo
rmat
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der
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icro
soft
Cor
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ksan
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efa
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iar
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term
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fore
acce
ptin
gth
eC
Onu
UU
niC
1tiO
nof
[25]
[199
9]O
.J.
3778
(Ont
.S.
C.J
.)te
rms
ofth
eco
ntra
ct.
Acc
epta
nce
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ngth
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e”bu
tton
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ltsin
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ntra
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urt
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reem
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rmat
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oduc
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erm
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2]A
ccep
tanc
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Cen
tury
21C
anad
av.
Rog
ers
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heac
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brow
sing
coul
dco
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ute
the
acce
ptan
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term
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fus
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web
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emen
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;
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mun
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ract
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ngas
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inue
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ms
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act
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2011
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tury
21w
ebpo
sted
cont
ract
s
web
site
and
that
term
sof
use
wer
epr
oper
lyin
corp
orat
edbe
caus
eth
ete
rms
ofus
ew
ere
(bro
wse
wra
p
cle
ar
and
ape
rson
who
brow
sed
the
web
site
had
enou
ghtim
eto
read
them
prio
rto
agre
emen
ts)
acce
ptin
gth
emFo
rmat
ion:
[27]
Byr
nev.
Van
Tie
nhov
en•
The
mai
lbox
rule
does
not
appl
yto
revo
cati
on—
revo
cati
onm
ust b
ere
ceiv
edby
the
offe
ree
Ter
min
atio
nof
(188
0)C
.P.D
.34
4to
beef
fect
ive.
Off
er-
Rev
ocat
ion
•T
hege
nera
lpr
inci
ple
isth
atif
ape
rson
who
mak
esan
offe
rdi
es, t
heof
fer
cann
otbe
acce
pted
afte
rth
eyar
ede
ad.
•T
heco
urt h
eld
that
anof
ferc
ould
bere
voke
dby
indi
rect
com
mun
icat
ion
appl
ying
the
sam
eFo
rmat
ion:
Dic
kins
onv.
Dod
dsge
nera
lru
lelo
gic—
that
is,o
nce
the
pers
onto
who
mth
eof
fer
was
mad
ekn
ows
that
the
Teli
lIlm
ati
on
of[2
8](1
876)
2C
h.D
.46
3(C
A.)
prop
erty
has
been
sold
toso
meo
neel
se,
itis
too
late
for
them
toac
cept
the
offe
ran
dth
eO
ffer
-R
evoc
atio
nco
ntra
ctis
impo
ssib
leto
mak
e.•
Apr
omis
eto
hold
anof
fer
open
isno
tbi
ndin
gun
less
have
cons
ider
atio
nor
ade
ed.
Equ
ity
cann
otbe
appl
ied_
whe
n_a
thir
dpa
rty
has_
acqu
ired
righ
ts.
•L
egal
cons
eque
nces
offa
mily
arra
ngem
ents
are
diff
icul
t to
asce
rtai
n.Fo
rmat
ion:
Err
ingt
onv.
Err
ingt
onan
dW
oods
•U
nila
tera
lco
ntra
cts
are
form
edw
hen
all
cond
ition
sof
the
offe
rar
em
et.
Term
inati
on
of[2
9][1
952]
1K
.B.
290,
[195
2]1
All
•In
gene
ral,
offe
rsfo
run
ilate
ral
cont
ract
sca
nbe
revo
ked
any
time
prio
rto
com
plet
eO
ffer
—U
nila
tera
lE
.R.
149
(C.A
.)fu
lfil
lmen
t by
the
offe
ree,
but
the
cour
t hel
dth
atin
this
case
anof
fer
for
aun
ilate
ral
cont
ract
sco
ntra
ctco
uld_
not b
e_re
voke
d_by
_the
_pro
mis
or_o
nce_
the_
prom
esee
_ent
ered
_on
perf
orm
ance
4
Law
211.
02C
ase
Rul
eT
opic
Con
trac
tsB
iuko
vic
of
the
act
(bu
tit
would
ceas
eto
bin
dth
eoff
eror
ifpe
rfor
man
cew
asle
ftin
com
plet
ean
d
unper
form
ed).
•A
noff
erw
ill
lap
seif
itis
not
acce
pte
dw
ithin
atu
neli
mit
det
erm
ined
byth
eo
ffer
or,
or
ifa
tim
eli
mit
isnot
spec
ifie
d,
then
itw
illla
pse
wit
hin
are
asonab
leti
me.
Fo
rmat
ion
:B
arri
ckv.
Cla
rk[3
0][1
951]
S.C
.R.
177,
[195
014
D.L
.R.
•T
heco
urt
wil
lde
term
ine
wha
tis
are
ason
able
time
usin
gth
eru
leo
fco
nst
ruct
ion
Ter
min
atio
nof
52
9(o
bjec
tive
test
)—it
wil
ldep
end
up
on
the
nat
ure
and
char
acte
ro
fth
eit
embei
ng
sold
,o
nth
eO
ffer
—L
apse
of
no
rmal
or
usua
lco
urse
of
busi
nes
sin
neg
oti
atio
ns
asw
ell
asth
eci
rcu
mst
ance
so
fth
eo
ffer
,T
ime
incl
udin
gth
eco
nd
uct
of
the
par
ties
inth
eco
urs
eo
fneg
oti
atio
n.
.T
he
court
dea
ltw
ith
vag
uen
ess
of
a“b
est
effo
rts”
term
byco
nst
ruct
ing
itsre
asonab
le
R.
v.C
AE
indu
stri
esL
td.
mea
nin
gin
the
con
tex
to
fth
ela
ng
uag
euse
dby
the
par
ties
and
the
ov
eral
lp
urp
ose
of
the
Fo
rmat
ion
:
[33]
con
trac
tw
hic
hhas
also
bee
np
artl
yp
erfo
rmed
Vag
uen
ess
of[1
986]
1F
.C.
129
(F.C
.A.)
•P
reli
min
ary
issu
ew
asif
the
con
trac
tw
asin
tended
and
the
court
hel
dth
atit
could
be
Ter
ms
answ
ered
byan
aly
zin
gth
esu
rroundin
gci
rcum
stan
ces
asw
ell
asth
ele
tter
itse
lf
•T
ob
ea
go
od
con
trac
tth
ere
mu
stb
ea
concl
uded
bar
gai
nw
hic
hse
ttle
sev
ery
thin
gth
atis
nec
essa
ryto
be
settl
edan
dle
aves
noth
ing
tobe
settl
edby
late
rag
reem
ent
bet
wee
nth
e
part
ies.
[35]
May
&B
utch
erv.
R.
•It
has
lon
gb
een
aw
ell-
reco
gn
ized
pri
nci
ple
of
con
trac
tla
wth
atan
agre
emen
tin
whic
hF
orm
atio
n:
[193
4]2
K.B
.17
(H.L
.)so
me
criti
calp
arto
fth
eco
ntr
act
mat
ter
isle
ftu
nd
eter
min
edis
noco
ntr
act
atal
l.C
erta
inty
ofT
erm
s
•It
ispe
rfec
tly
po
ssib
leto
con
trac
tto
sig
na
do
cum
ent
wh
ich
wil
lco
nta
inal
lth
ere
levan
t
term
s,but
itis
not
acce
pta
ble
toag
ree
that
the
par
ties
wil
lin
the
futu
reag
ree
upon
am
atte
r
whic
his
vita
lto
the
contr
act.
•C
ou
rto
fA
ppea
lw
ith
“gre
atre
gre
t”u
ph
eld
May
&B
utch
er’s
gen
eral
rule
that
ifth
ere
are
Fo
rmat
ion
:H
i/la
sv.
Arc
os[3
6](1
932)
40
Llo
yd’s
Rep
.(C
.A.)
any
esse
ntia
lte
rms
ofa
cont
ract
ofsa
leun
dete
rmin
ed,
and
ther
efore
tob
ed
eter
min
edb
ya
Cert
ain
tyof
Ter
ms
sub
seq
uen
tco
ntr
act,
ther
eis
no
enfo
rcea
ble
con
trac
t.
•H
ouse
ofL
ords
took
am
ore
mod
ern
appro
ach:
Busi
nes
sm
enoft
enre
cord
the
mo
st
Hi/
las
v.A
rcos
import
ant
agre
emen
tsin
crud
ean
dsu
mm
ary
fash
ion;
modes
of
exp
ress
ion
suff
icie
nt
and
Fo
rmat
ion
:[3
7]cl
ear
toth
emin
the
cour
seo
fth
eir
bu
sin
ess
that
are
far
fro
mco
mple
teo
rp
reci
se.
(1932)
147
L.T
.50
3(H
.L.)
Cer
tain
tyof
Ter
ms
•It
isth
eduty
of
the
court
toco
nst
rue
such
docu
men
tsfa
irly
and
bro
adly
,w
ith
ou
tb
ein
gto
o
astu
teor
subtl
ein
fin
din
gd
efec
ts.
.In
terp
rete
dth
eg
ener
alp
rin
cip
les
of
H.L
.’s
dec
isio
nin
Hi/
las
tom
ean
that
each
case
sho
uld
bed
ecid
edon
the
con
stru
ctio
no
fth
epa
rtic
ular
do
cum
ent.
[38]
Fol
eyv.
Cla
ssiq
ueC
oach
esL
td.
•H
eld
that
anag
reem
ent
toag
ree
on
pri
cefr
om
tim
eto
tim
ew
asce
rtai
nen
ou
gh
since
the
Fo
rmat
ion
:
[193
4]2
K.B
.1
(C.A
.)par
ties
bel
iev
edth
eyhad
aco
ntr
act
and
had
acte
dfo
r3
yea
rsas
ifth
eyd
idi.e
.th
ere
was
Cer
tain
tyof
Ter
ms
alre
ady
part
ial
per
form
ance
:T
he
land
had
bee
ntr
ansf
erre
dan
da
port
ion
of
the
sale
of
gas
agre
emen
thad
bee
np
erfo
rmed
.
•T
he
court
wil
ltr
y,w
her
ever
po
ssib
le,
togi
veth
epro
per
legal
effe
ctto
any
clau
seth
atth
e
[40]
Em
pres
sv.
Ban
kofN
ova
Scot
iapar
ties
un
der
sto
od
and
inte
nded
tohav
ele
gal
effe
ct.
Fo
rmat
ion
:
[199
1]1
W.W
.R.
537
(B.C
.C.A
.)•
Ag
reem
ents
toag
ree
can
no
tb
een
forc
ed.
Cer
tain
tyof
Ter
ms
•W
hen
the
par
ties
stat
eda
form
ula
(e.g
.m
arket
renta
l)to
asce
rtai
na
clau
se,
bu
tdid
no
t
supp
ly_m
achi
nery
_(e.
g._a
rbitr
atio
n)_f
orap
ply
ing
the_
form
ula,
_the
cour
ts_w
ill_s
uppl
y_(b
e)_t
he
5
Lall’
211.
02C
ase
Rul
eT
opic
Con
trac
tsBi
ziko
vic
mac
hine
ryan
dap
ply
the
form
ulae
solo
ngas
the
form
ulae
isno
tdef
ectiv
e.
.W
here
the
form
ula
isse
tout
but
isde
fect
ive,
and
mac
hine
ryis
prov
ided
for
appl
ying
the
form
ula,
the
mac
hine
rym
aybe
used
tocu
reth
ede
fect
inth
efo
rmul
a.
.W
hile
ther
eis
noco
mm
onla
wob
liga
tion
tone
goti
ate
ingo
odfa
ith(b
ecau
seit
is
unw
orka
ble)
,in
this
case
ther
ew
asan
impl
ied
term
requ
irin
ggo
odfa
ithne
goti
atio
nsfo
r
the
rene
wal
of
the
rent
alag
reem
ent.
Man
npar
Ent
erpr
ises
Ltd.
v.C
anad
a•
The
cour
thel
dth
atth
ere
new
alcl
ause
inth
ere
ntal
cont
ract
was
am
ere
agre
emen
t to
Form
atio
n:[4
1][1
999]
173
D.L
.R.(4th)
243
agre
e—th
eco
ntra
ctdi
dno
tpro
vide
afo
rmul
aor
obje
ctiv
em
easu
reto
dete
rmin
ere
nt(s
uch
Cer
tain
tyof
Ter
ms
(B.C
.C.A
.)as
fair
mar
ket
valu
e)or
am
echa
nism
toap
ply
the
form
ula.
Baw
itko
Inve
stm
entL
td.
v.K
erne
ls•
The
oral
agre
emen
t in
cont
empl
atio
nof
afo
rmal
wri
tten
agre
emen
tnot
enfo
rcea
ble
due
toF
on
tio
n:
[42]
Pop
ocor
nL
td(1
991)
79D
.L.R
.(4th)
the
lack
ofce
rtai
nty;
itis
aco
ntra
ctto
mak
ea
cont
ract
Cer
tain
tyof
Ter
ms
97(O
nt.
C.A
.).
Let
ter
ofin
tent
coul
dam
ount
toan
enfo
rcea
ble
cont
ract
ifth
epa
rtie
scl
earl
yex
pres
sth
eir
Form
atio
n:in
tent
ion
tobe
boun
dby
the
term
sof
LO
lw
hich
wer
ela
ter
tobe
inco
rpor
ated
into
am
ain
Cer
tain
tyof
Ter
ms
Wal
lace
v.A
llen,
2009
ON
CA
36[4
4]co
ntra
ct,
ifth
ete
rms
ofLO
Tar
epr
ecis
ean
dco
mpl
ete,
and
ifth
epa
rtie
saf
ter
sign
ing
LO
lan
dle
tter
sof
inte
ntco
nduc
ted
them
selv
esas
ifth
ede
alis
com
plet
ed.
.A
tkin
L.J
.:th
eco
mm
onla
wdo
esno
treg
ulat
eag
reem
ents
betw
een
spou
ses.
. .T
heE
nfor
cem
ent o
f
[46]
Bal
four
v.B
alfo
urco
nsid
erat
ion
that
real
lyob
tain
sfr
omth
emis
that
natu
ral
love
and
affe
ctio
n.Pr
omis
es:
Inte
ntio
n
[191
9]2
K.B
.57
1•
The
reis
ast
rong
pres
umpt
ion
that
fam
ilyag
reem
ents
are
not
inte
nded
topr
oduc
ele
gal
toC
reat
eL
egal
cons
eque
nces
.O
blig
atio
n
.T
here
isa
stro
ngpr
esum
ptio
nth
atbu
sine
ssag
reem
ents
are
inte
nded
topr
oduc
ele
gal
Enf
orce
men
tof
Ros
ean
dF
rank
v.J.
R.
Cro
mpt
onco
nseq
uenc
es.
Prom
ises
:In
tent
ion
[471
Bro
s.,
[192
312
K.B
.26
1(C
.A.)
•H
owev
er,
ifth
ere
isa
clea
ran
dde
fini
teex
pres
sion
ofth
ebu
sine
sspa
rtie
sth
atth
eydo
not
toC
te
Leg
alin
tend
tobe
subj
ect t
ole
galj
uris
dict
ion,
ther
eis
nore
ason
inpu
blic
polic
yw
hyef
fect
Obl
igat
ion
shou
ldno
tbe
give
nto
_the
irin
tent
ion.
Enf
orce
men
tof
Tor
onto
Dom
inio
nB
ank
v.L
eigh
Pro
mis
es:
Inte
ntio
n
[491
Inst
rum
ents
(199
9)17
8D
.L.R
.(4th)
•A
com
fort
lette
ris
afo
rmof
unde
rtak
ing
that
isde
libe
rate
lyde
sign
edw
ithth
ein
tent
ion
not
toC
reat
eL
egal
tocr
eate
enfo
rcea
ble
oblig
atio
ns.
634
(Ont
.C
.A
.)O
blig
atio
n
The
Gov
erno
rsof D
aiho
usie
Enf
orce
men
tof
.F
ora
prom
ise
tobe
bind
ing
asa
cont
ract
itha
sto
besu
ppor
ted
bya
good
and
suff
icie
ntPr
omis
es:
[50]
Col
lege
atH
alif
axv.
The
Est
ate
of
cons
ider
atio
nw
hich
mov
esfr
omth
epr
omis
eeat
the
time
ofan
din
exch
ange
for
the
Con
side
rati
onA
rthu
rB
outil
ier,
Dec
ease
d[1
934]
S.C
.R.
642
prom
ise
whi
chis
soug
htto
been
forc
ed
Eas
twoo
dv.
Ken
yon
•M
oral
obli
gati
onis
nudu
mpa
ctum
,a
volu
ntar
ypr
omis
ew
ithou
tan
yco
nsid
erat
ion.
Enf
orce
men
tof
[51]
(184
0)11
Ad.
&E
.43
8,11
3E
.R.
•P
ast c
onsi
dera
tion
isno
ta
good
cons
ider
atio
nfo
ra
new
prom
ise
mad
eaf
ter
abe
nefi
tw
asPr
omis
es:
Pas
t
482
(Q.B
.)co
nfer
red
and
whe
nth
ebe
nefi
twas
not
conf
erre
dat
the
requ
est
ofth
epr
omis
or.
Con
side
rati
on
[551
Lai
nple
igh
v.B
rath
wai
t,(1
615)
•P
astc
onsi
dera
tion
may
bea
good
cons
ider
atio
nfo
ra
subs
eque
ntpr
omis
eif
the
bene
fit
was
Enf
orce
men
t:P
ast
Hob
art
105,
80E
.R.
255
(K.B
.)co
nfer
red
atth
ere
ques
tof
the
prom
isor
.C
onsi
dera
tion
6
Law
211.
02
J
To
pic
Case
Rule
Con
trac
tsB
iuko
vic
.C
on
sid
erat
ion
isso
met
hin
gw
hic
his
of
som
eval
ue
inth
eey
eso
fth
ela
w.
Enfo
rcem
entof
Tho
mas
v.T
hom
as[5
31(1
84
2)
2Q
.B.
851,
114
E.R
.3
30
•C
onsi
dera
tion
mus
tmov
efr
omth
epr
omis
e.Pr
omis
es:
Nat
ure
of
.C
on
sid
erat
ion
must
be
suff
icie
nt
but
nee
dnot
be
adeq
uat
e.C
onsi
dera
tion
•P
astc
onsi
dera
tion
can
som
etim
esbe
good
cons
ider
atio
nif:
1.T
heac
tw
asd
on
eat
the
pro
mis
or’
sre
ques
t;2.
Th
epa
rtie
sunder
stood
that
the
act
was
tob
ere
mu
ner
ated
;an
d3.
Enfo
rcem
ent
of
Pay
men
tw
ould
hav
eb
een
leg
ally
enfo
rcea
ble
had
itb
een
pro
mis
edin
advan
ce.
Pro
mis
es:P
re.
Apr
omis
eto
perf
orm
,or
the
perf
orm
ance
ofa
pre-
exis
ting
cont
ract
ual
obli
gati
onto
ath
ird
isti
ngie
gai
Pao
On
v.L
ouY
iuL
ong
part
yca
nb
eval
idco
nsid
erat
ion.
Du
ty—
Du
tyO
wed
[57]
[198
0]A
.C.
61
4(P
.C.)
•D
ures
s,w
hat
ever
form
itta
kes
,is
aco
erci
on
of
the
wil
lso
asto
vit
iate
con
sen
t;d
ure
ssm
ayto
aT
hir
dP
arty
;
rend
era
cont
ract
void
able
,but
this
mus
tbe
clai
med
prom
ptly
.E
cono
mic
Dur
ess;
.T
heco
mm
erci
alpr
essu
real
lege
dto
cons
titu
tedu
ress
mus
tbe
such
that
the
vict
imen
tere
dP
ast
Consid
erati
on
the
cont
ract
agai
nstt
heir
will
, the
yha
dno
alte
rnat
ive
cour
seop
ento
them
,an
dth
eyw
ere
conf
ront
edw
ithco
erci
veac
tsby
the
part
yex
erti
ngth
epr
essu
re.
.A
unila
tera
lpr
omis
eto
incr
ease
pric
eis
unen
forc
eabl
ebe
caus
eth
ere
isno
clea
rag
reem
ent
tore
scin
dth
eex
isti
ngco
ntra
ct—
the
new
prov
isio
nsw
ere
unil
ater
ally
impo
rted
into
the
Enf
orce
men
tof
docu
men
tan
dac
cord
ingl
y,co
nsid
erat
ion
ofth
eor
alag
reem
ent
was
notf
ound
ina
mut
ual
Pro
mis
es:P
re
Gil
bert
Stee
lv.
Uni
vers
ityag
reem
entt
oab
ando
nth
eea
rlie
rw
ritte
nco
ntra
ctan
das
sum
eth
eob
ligat
ions
unde
rth
ene
wex
isti
ngL
eg
al
Con
stru
ctio
nLt
d.o
ral
on
e.D
uty
—D
uty
Ow
ed[5
81(1
976)
12O
.R.
(2’.
)19
,67
D.L
.R.
•In
Sul
kv.M
yric
k(1
809)
,w
hen
two
out
of
11sa
ilo
rsdes
erte
dth
esh
ip,
the
capt
ain
toth
eP
ro
mis
or
(3d)
60
6(C
.A.)
pro
mis
edto
pay
the
rem
aini
ngsa
ilo
rsex
tra
money
ifth
eysa
iled
the
ship
bac
k.
Ho
wev
er,
Reference
toS
tilk
he
late
rre
fuse
dto
pay
that
extr
am
oney
.T
he
cour
thel
dth
atth
eca
pta
inw
asn
ot
ob
lig
edto
v.M
yric
k(1
809)
pay
the
extr
am
oney
bec
ause
the
ob
lig
atio
nto
sail
the
ship
bac
kw
asn
ot
ava
lid17
0E
.R.
1168
con
sid
erat
ion
for
the
subse
quen
tag
reem
ent
wh
ich
vari
edth
eor
igin
alone.
Enfo
rcem
entof
.P
re-e
xist
ing
lega
ldu
tyow
edto
the
prom
isor
may
bea
valid
cons
ider
atio
nfo
ra
subs
eque
ntPr
omis
es:P
re
[591
Will
iam
sv.
Rof
fey
Bro
s.[1
9901
1A
llE
.R.
512
(C.A
.)pr
omis
eif
the
prom
isor
deri
ves
prac
tica
lbe
nefi
tfro
mth
eag
reem
enta
ndif
the
subs
eque
ntex
isti
ngL
egal
prom
ise
isno
tgi
ven
unde
rec
onom
icdu
ress
(not
eG
lidew
ell’
s6
poin
ttes
t).
Du
ty—
Du
tyO
wed
toth
eP
ro
mis
or
•R
ober
tson
J.A
.he
ldth
atit
istim
eto
build
upon
UK
dec
isio
nin
Will
iam
sv.
Rof
fey
and
acce
pte
dth
atp
ost
-co
ntr
actu
alm
od
ific
atio
n,
unsu
ppor
ted
by
consi
der
atio
n,
may
be
Enfo
rcem
entof
enfo
rcea
ble
solo
ng
asit
ises
tabli
shed
that
the
vari
atio
nof
cont
ract
sw
asno
tpro
cure
dPr
omis
es:P
reG
reat
erF
rede
rict
onA
irpo
rtun
der
econ
omic
dure
ss.
[60]
Aut
hori
tyIn
c.v.
NA
YC
anad
aex
isti
ngL
egal
[200
8]N
.B.J
.N
o.10
8(N
.B.C
.A.)
•C
om
mer
cial
real
ity
need
sto
be
reco
gniz
edan
dco
nsid
ered
—th
atis
,th
atth
epa
rtie
sD
uty
—D
uty
Ow
edfr
eque
ntly
vari
edan
dm
odif
ied
thei
rco
ntra
ctua
lob
ligat
ions
and
that
the
law
has
topr
otec
tto
the
Pro
mis
or
thei
rle
gitim
ate
expe
ctat
ions
that
the
mod
ific
atio
nsor
vari
atio
nsw
illbe
rega
rded
asen
forc
eabl
e.•
The
prom
ise
topa
ya
sum
whi
chth
ede
btor
was
alre
ady
boun
dto
pay
was
not
good
Enf
orce
men
tof
[61]
Re
Sele
ctm
ove
Ltd
.[1
995]
2A
llco
nsid
erat
ion
(con
firm
sF
oake
sv.
Bee
r)Pr
omis
es:
Dut
y
E.R
.53
1(C
.A.)
•W
illia
ms
v.R
offe
ypr
inci
ple
not
appl
icab
lew
here
the
exis
ting
obli
gati
onis
topa
ym
oney
Ow
edto
the
7
Law 211.
02C
ase
Rul
eT
opic
Con
trac
tsB
iukovic
but
rath
eronly
wh
ere
the
exis
tin
gobli
gat
ion
isto
supply
goods
or
serv
ices
Pro
mis
or
Enfo
rcem
entof
•T
he
trad
itio
nal
com
mo
nla
wposi
tion
isth
atan
agre
emen
tto
acce
pt
asm
alle
rsu
min
Pro
mis
es:P
reF
oake
sV
.B
eer
[62]
sati
sfac
tio
no
fa
deb
to
fa
larg
ersu
mis
not
ag
oo
dco
nsi
der
atio
n,
exis
ting
Leg
al(1
884)
9A
pp
.C
as.
605
(H.L
.).
This
case
has
bee
no
ver
rule
din
B.C
.by
s.43
of
the
Law
and
Eq
uit
yA
ct.
Du
ty—
Du
tyO
wed
toth
eP
rom
iso
r
.In
the
case
of
the
deb
tor
who
ow
edth
ecr
edit
or
ala
rge
sum
un
der
ase
ries
of
pro
mis
sory
Enfo
rcem
ento
f
Foot
v.R
awli
ngs
[196
3]S
.C.R
.19
7n
ote
sas
full
pay
men
to
fth
ed
ebt,
aslo
ng
asth
ed
ebto
rco
nti
nued
top
erfo
rmhi
sobli
gat
ion
Pro
mis
es:
[631
and
kep
tpay
ing
by
post
-dat
edch
equ
esas
subse
quen
tly
agre
edb
etw
een
the
two,
the
Par
tpay
men
tof
cred
itor’
sri
ght
tosu
eon
the
no
tes
was
susp
ended
.de
bt
•“[
lit
isth
efi
rstp
rinc
iple
upon
whi
chal
lC
ou
rts
of
Equit
yp
roce
ed,
that
ifpar
ties
who
hav
e
ente
red
into
def
mit
ean
dd
isti
nct
term
sin
volv
ing
cert
ain
legal
resu
lts—
cert
ain
pen
alti
eso
r
Hug
hes
v.M
etro
poli
tan
Rai
lway
lega
lfo
rfei
ture
—af
terw
ard
sby
thei
row
nac
tor
wit
hth
eir
own
con
sen
ten
ter
upon
aco
urs
eE
nfo
rcem
entof
[64]
Co.
(18
77
)2
A.C
.4
39
(HI.
)of
neg
oti
atio
nw
hic
hhas
the
effe
cto
fle
adin
gon
eo
fth
ep
arti
esto
sup
po
seth
atth
est
rict
Pro
mis
es:
Wai
ver
righ
tsar
isin
gun
der
the
cont
ract
will
not
been
forc
ed,
or
wil
lbe
kep
tin
susp
ense
,o
rh
eld
inan
dP
rom
isso
ry
abey
ance
,th
eper
son
who
oth
erw
ise
mig
hthav
een
forc
edth
ose
rig
hts
wil
lnot
be
allo
wed
Est
oppel
toen
forc
eth
emw
her
eit
wo
uld
be
ineq
uit
able
hav
ing
regar
dto
the
dea
lin
gs
whic
hh
ave
thus
taken
pla
cebet
wee
nth
ep
arti
es”
Cen
tral
Lon
don
Pro
pert
yv.
Hig
h•
Ap
rom
ise
inte
nded
tob
eb
ind
ing
,in
tended
tob
eac
ted
on
and
infa
ctac
ted
on,
isbin
din
gE
nfo
rcem
ent
of
Tre
esH
ouse
even
ifth
ere
isno
con
sid
erat
ion
(Lo
rdD
enn
ing
reli
edon
the
do
ctri
ne
of
pro
mis
sory
Pro
mis
es:
Wai
ver
[65]
[194
7]1
K.B
.13
0,[1
956]
1A
lles
toppel
).an
dP
rom
isso
ryE
.R.
25
6•
Est
op
pel
was
used
asa
shie
ldby
tena
nts
agai
nst
the
lan
dlo
rdw
how
ante
dto
enfo
rce
aE
stoppel
high
erre
nt.
John
Bur
row
sv.
Sub
surf
ace
•T
hepa
ssiv
eco
nduc
tof
the
appe
llan
tw
asnot
take
nby
the
cour
tas
aw
aive
rof
his
righ
tsto
Enf
orce
men
tof
[661
Surv
eys
seek
enfo
rcem
ent
of
the
contr
act,
but
on
lyas
frie
nd
lyin
dulg
ence
s.P
rom
ises
:W
aiv
er
[196
8]S.
C.R
.60
7,68
D.L
.R.
(2’)
.W
hen
ther
eis
noco
nsi
der
atio
nor
dee
d,
any
rela
xati
onof
term
sm
ustb
ecl
ear
and
and
Pro
mis
sory
35
4u
neq
uiv
oca
l.E
stoppel
•A
cred
itor
isba
rred
from
enfo
rcin
gth
eir
lega
lri
ghts
only
whe
nit
wo
uld
be
ineq
uit
able
for
the
cred
ito
rto
insi
ston
them
.E
nfor
cem
ent
of•
Whe
reth
ere
has
bee
na
true
acco
rd,
unde
rw
hich
the
cred
itor
volu
ntar
ilyag
rees
toac
cep
ta
Prom
ises
:W
aive
rD
.C.
Bui
lder
sv.
Ree
s[6
7][1
966]
2Q
.B.
617
less
ersu
min
satis
fact
ion,
and
the
debt
orac
tson
that
acco
rdby
payi
ngth
ele
sser
sum
and
and
Pro
mis
sory
the
cred
itor
acce
pts
it,th
enit
isin
equi
tabl
efo
rth
ecr
edit
oraf
terw
ards
toin
sist
onth
eE
stop
pel
bala
nce,
but t
hey
are
notb
ound
ifth
ere
was
notr
ueac
cord
.
•A
prom
ise
mad
eun
der
dure
sssh
ould
not
bees
topp
ed.
•L
ord
Den
ning
expl
aine
dhi
sow
npr
inci
ple
seto
utin
Hig
hT
rees
:a)
prom
isso
ryes
topp
elE
nfor
cem
ento
fC
ombe
v.C
oinb
eca
nnot
beus
edas
asw
ord,
tocr
eate
new
caus
esof
acti
onw
here
none
exis
ted
befo
re,b
)Pr
omis
es:
Wai
ver
[681
[195
1]2
K.B
.21
5,1
All
E.R
.76
7pr
omis
sory
esto
ppel
can
only
beus
edas
ash
ield
,as
apa
rtof
aca
use
ofac
tion,
topr
even
ta
and
Pro
mis
sory
(C.A
.)pa
rty
from
insi
stin
gup
onhi
sst
rict
lega
lri
ghts
whe
nit
wou
ldbe
unju
stto
allo
whi
mto
Est
oppe
len
forc
eth
em.
[69]
Wal
ton
Sto
res
(Int
erst
ate)
Ltd
.v.
.A
ustr
alia
nco
urt m
ade
anex
cept
ion
toth
ege
nera
lru
leth
atpr
omis
sory
esto
ppel
cann
otbe
Enf
orce
men
tof
8
Law
211.
02C
ase
Rul
eT
opic
Con
trac
tsB
iuko
vic
Mah
erus
edin
the
abse
nce
ofa
pre-
exis
ting
lega
lrel
atio
nshi
p.Pr
omis
es:
Wai
ver
(198
8)62
A.L
.J.R
.(H
.C.)
•T
heco
urth
eld
that
the
doct
rine
can
beus
edin
the
abse
nce
ofa
pre-
exis
ting
lega
lre
lati
onif
and
Pro
mis
sory
ther
ew
asa
reli
ance
onth
epr
omis
eth
atw
asa
reas
onab
leex
pect
atio
nan
dif
ade
part
ure
Est
oppe
l
from
the
prom
ise
isun
cons
cion
able
beha
vior
.E
nfor
cem
ento
f
N.M
.v.
A.T
A.
(200
3),
13B
.C.L
.R.
•B
.C.C
.Afo
und
little
evid
ence
inC
anad
ian
auth
oriti
esto
indi
cate
am
ove
tow
ard
am
ore
Prom
ises
:W
aive
r[7
0](4th
)73
(B.C
.C.A
.)ge
nero
usap
proa
chto
prom
isso
ryes
topp
elan
ddi
stin
guis
hed
the
case
from
Wal
ton
iii
and
Pro
mis
sory
whi
chth
ere
was
are
ason
able
expe
ctat
ion
ofa
lega
lob
ligat
ion.
Est
oppe
l
Tw
eddl
ev.
Atk
inso
n(1
861)
1B
&•
Ape
rson
who
isno
ten
gage
din
aco
nira
ct(a
thir
dpa
rty)
can
gene
rally
neit
her
sue
nor
beP
rivi
tyof
Con
trac
t:
[77]
sued
onth
atco
ntra
ct.
Thir
dP
arty
.L
ove
and
affe
ctio
nar
eno
tsu
ffic
ient
cons
ider
atio
n.B
enef
icia
ries
.O
nly
ape
rson
who
isa
part
yto
aco
ntra
ctca
nsu
eon
it.
Dunlo
pP
neu
mat
icT
yre
Co.
V.
•E
ven
ifa
cont
ract
prov
ides
ath
ird
part
yw
ithan
enfo
rcea
ble
righ
t,th
ere
still
mus
tbe
Pri
vily
ofC
ontr
act:
[78]
Sei
frid
ge&
Co.
Ltd
.[1
915]
A.C
.co
nsid
erat
ion.
Thir
dP
arty
847(
H.L
.)•
Apr
inci
pal
notn
amed
inth
eco
ntra
ct,
how
ever
,m
aysu
eup
onit
ifth
epr
omis
eere
ally
Ben
efic
iari
es
cont
ract
edas
his
agen
t..
C.A
:L
ord
Den
ning
MR
fmds
aneq
uita
ble
exce
ptio
nto
gene
ral
rule
ofpr
ivity
whe
reth
e
thir
dpa
rty
isin
atr
uste
ere
lati
onsh
ip-
inth
isca
seth
ew
idow
sued
inhe
rca
paci
tyas
exec
utri
xof
the
esta
te,
and
also
inhe
rpe
rson
alca
paci
ty(D
enni
ngfo
rC
.A.
held
that
she
Pri
vity
ofC
ontr
act:
Bes
wec
kv.
Bes
wic
k[1
966]
1C
h.co
uld
mak
ea
join
tcl
aim
and
that
ape
rson
alcl
aim
was
good
asw
ell
butI
{Ldi
sagr
eed
with
Way
sfo
rT
hir
d53
8;[1
9661
3A
11E
.R.
1(C
.A.)
him
onth
epo
int
ofa
pers
onal
clai
m—
see
belo
w).
Par
ties
toA
cqui
re[7
9][1
968]
A.C
.58
;[19
67]
2A
llE
R.
.H
.L.:
Lor
dR
eid
foun
dth
atal
thou
ghth
ew
idow
inhe
rpe
rson
alca
paci
tyha
dno
righ
tto
sue,
Ben
efit
s(c
hoic
eof
119
(H.L
.)sh
eha
da
righ
tas
adm
inis
irat
rix
ofhe
rhu
sban
d’s
esta
teto
sue
and
seek
for
spec
ific
rem
edy)
perf
orm
ance
ofa
cont
ract
(rat
her
than
dam
ages
);th
ew
idow
isin
that
way
enfo
rcin
gth
e
cont
ract
inhe
rbe
nefi
t.
laco
bucc
iIhe
ldem
ploy
ees
wer
epr
otec
ted
from
clau
selim
iting
thei
rlia
bilit
yev
enth
ough
they
wer
eno
tpar
ties
toth
eco
ntra
ct.
Lon
don
Dru
gsL
td.
v.K
uehn
e&
•T
heem
ploy
eeco
uld
rely
onth
elim
itatio
nof
liabi
lity
clau
seif
such
clau
seex
pres
sly
orP
rivi
tyof
Con
trac
t:
[80]
Nag
elIn
tern
atio
nal L
td.
impl
icitl
yex
tend
sits
bene
fits
toth
eem
ploy
ees
and
ifth
eem
ploy
ees
have
been
actin
gin
Exc
epti
ons
—
[199
2]3
S.C
.R.
299
the
cour
seof
thei
rem
ploy
men
tan
dpe
rfor
min
gth
eve
ryse
rvic
espr
ovid
edfo
rin
the
Em
ploy
ees
cont
ract
betw
een
thei
rem
ploy
eran
dth
ecu
stom
erw
hen
the
loss
occu
rred
•L
imit
edE
xcep
tion
topr
ivity
,em
ploy
ees
may
use
as‘s
hiel
ds’.
.F
ollo
wed
Lon
don
Dru
gsan
alys
isre
:ap
plic
atio
nof
lim
itat
ion
oflia
bilit
ycl
ause
on
empl
oyee
sin
orde
rto
enfo
rce
the
insu
rer’
sw
aive
rof
itsti
ghts
ofsu
brog
atio
nag
ains
tth
e
char
tere
rP
rivi
tyof
Con
trac
t:F
rase
rR
iver
Pil
e&
Dre
dge
Lt.
v.[8
2]C
an-D
ive
Serv
ices
.[1
9971
39•
Doe
sno
tm
odif
yth
ete
stof
Lon
don
Dru
gsbu
text
ends
itsap
plic
atio
non
cont
ract
sot
her
Exc
epti
ons
oth
er
B.C
.L.R
.(3
d)18
7(B
.C.C
.A.)
than
empl
oym
ent
cont
ract
sas
long
asth
eco
ntra
ctex
plic
itly
orim
plic
itly
exte
nds
itsth
anE
mpl
oyee
s
bene
fits
toth
eth
ird
part
yan
dif
the
thir
dpa
rty
has
been
perf
orm
ing
the
acti
viti
es
cont
empl
ated
_in
the
cont
ract
[83]
Dyn
amic
Tra
nspo
rtat
ion
Ltd.
v.•
Stat
utor
yre
quir
emen
t tha
ta
cont
ract
bein
wri
ting
has
been
satis
fied
with
am
emor
andu
mR
equi
rem
ent
of
9
Law 2c.c
tsC
ase
Rul
eT
opic
Bir
ikov
icI
O.K
Det
aili
ngLt
d.[1
9781
2S.
C.R
.ev
iden
cing
the
agre
emen
t(t
hat
is,
desc
ript
ion
ofla
nd)
with
asu
ffic
ient
cert
aint
yof
Wri
ting
1072
desc
ript
ion
that
enab
les
the
prop
erty
tobe
iden
tifie
d
.E
quit
able
doct
rine
ofpa
rtpe
rfor
man
ceco
uld
beus
edto
enfo
rce
an(o
ral)
agre
emen
tfo
r
tran
sfer
ofla
ndw
hich
isno
n-co
mpl
iant
with
ast
atut
ory
requ
irem
ento
ffor
mif
anor
al
agre
emen
tis
part
iall
ype
rfor
med
(par
tper
form
ance
rele
vant
toan
oral
agre
emen
t,no
tR
equi
rem
ento
fD
egim
anv.
Bru
netE
stat
e,,
[84]
[195
4]S
.C.R
725
(s.C
.c.)
who
llyne
utra
lan
dit
wou
ldbe
unju
stto
refu
seen
forc
emen
tof
anag
reem
ent
wri
ting:
effe
cts
of
.If
the
doct
rine
ofpa
rtpe
rfor
man
ceis
not
appl
icab
le,
the
plam
tiff
coul
dst
illha
vea
clai
min
non-
com
plia
nce
quan
tum
mer
uitb
ased
onth
ere
ason
able
valu
eof
serv
ices
rend
ered
,if
thos
ese
rvic
esw
ould
othe
rwis
e“u
njus
tlyen
rich
ed”
the
defe
ndan
t
10
