Contract Law

Contract law A body of rules which regulate the formation of contracts so that contracts properly formed will be binding on the parties involved, and the courts will be able to enforce them.

Contract An agreement with specific terms between two or more parties in which there is a promise to do something in return for a certain benefit. Remember which are essential requirements for a valid contract! Term – odredba ugovora

Match the terms denoting essential preconditions for a binding common law contract provided in the box with their definitions.   legal capacity offer consideration acceptance compensation intention to be legally bound _________________________ = power provided under law to a natural person or a juridical person to enter into binding contracts _________________________ = something of value which must be given for a contract to be enforceable _________________________ = statement given by the person receiving the offer by which he or she accepts the offer subject to contract (a precondition for a contract to be legally binding) _________________________ = an expression of willingness to contract on specified terms, made with the intention that it is to be binding once accepted by the person to whom it is addressed _________________________ = a proposal to enter into an agreement, usually accompanied by an expected acceptance _________________________ = pecuniary remedy awarded to an individual who has sustained an injury in order to replace the loss caused by the injury

legal capacity = power provided under law to a natural person or a juridical person to enter into binding contracts consideration = something of value which must be given for a contract to be enforceable acceptance = statement given by the person receiving the offer by which he or she accepts the offer subject to contract (a precondition for a contract to be legally binding) intention to be legally bound = an expression of willingness to contract on specified terms, made with the intention that it is to be binding once accepted by the person to whom it is addressed offer = a proposal to enter into an agreement, usually accompanied by an expected acceptance compensation = pecuniary remedy awarded to an individual who has sustained an injury in order to replace the loss caused by the injury

Translate the following sentences into Croatian: For an agreement to become an enforceable contract one of the parties (offeror) to the contract must have made an offer and the other party (offeree) must have accepted it. Besides offer, acceptance, consideration and an intention to create legal relations, the fifth essential precodnition for the creation of every contract is the legal capacity of all parties to enter into a contract.

Structure of a contract Contracting party – ugovorna stranka Condition – uvjet Warranty/guarantee – manje važna ugovorna obveza, jamstvo Term of contract – trajanje ugovora Termination of contract – raskid ugovora Confidentiality – povjerljivost Indemnity – obeštećenje, nadoknada štete Force majeure – viša sila Assignment – ustupanje Applicable law – mjerodavno pravo

Read about the structure of a contract and complete the following statements about contract law. Conditions of a contract are _______________________ _________________________________________________. Warranties are not essential to a contract and usually refer to _________________________________________________. Some of the most common clauses included in almost every contract are: _______________________________________________________________________________________________________________________________________________________________________________________________________ .

Defective contracts 1. _____________________ contract is initially valid but can be annulled if the parties request it. 2._____________________ contract contains all the necessary elements but has a certain technical defect because of which it cannot be enforced. 3._____________________ contact lacks some of the essential elements and is not valid from the start.

1. Voidable contract is initially valid but can be annulled if the parties request it. 2. Unenforceable contract contains all the necessary elements but has a certain technical defect because of which it cannot be enforced. 3.Void contract lacks some of the essential elements and is not valid from the start.

Read the paragraph about remedies for breach of contract and complete the definitions: 1. ____________________ is the most frequent remedy for breach of contract by which the injured party is financially compensated for the loss. 2.If the terms of a contract are carried out entirely the contract is said to be ended by _____________________ . 3._____________________________ is used as a remedy when there is a need to cancel the contract. 4.If the parties agree to release each other from their contractual obligations the contract is said to be ended by _______________________ . 5.___________________ of the contract happens when one of the parties refuses to perform or performs defectively. 6.___________________ means that the contract is ended because some events make its performance impossible. 7._____________________ refers to the court order to the breaching party to perform the obligation. 8._____________________ refers to the court order to the breaching party not to do something.

1.Damages is the most frequent remedy for breach of contract by which the injured party is financially compensated for the loss. 2.If the terms of a contract are carried out entirely the contract is said to be ended by performance . 3.Contract rescission is used as a remedy when there is a need to cancel the contract. 4.If the parties agree to release each other from their contractual obligations the contract is said to be ended by agreement . 5. Breach of contract of the contract happens when one of the parties refuses to perform or performs defectively. 6.Frustration means that the contract is ended because some events make its performance impossible. 7.Specific performance refers to the court order to the breaching party to perform the obligation. 8. Injunction refers to the court order to the breaching party not to do something.

Find the Croatian equivalents for the following collocations: to enter into a contract = ____________________________________________ to enforce a contract = ______________________________________________ to breach a contract = ______________________________________________ to rescind a contract = ______________________________________________ to declare a contract invalid = ________________________________________ to discharge a contract = ____________________________________________ to annul a contract = _______________________________________________ to terminate a contract = ____________________________________________

to enter into a contract = sklopiti ugovor to enforce a contract = prisilno izvršiti ugovor to breach a contract = (pre)kršiti ugovor to rescind a contract = poništiti / raskinuti ugovor to declare a contract invalid = proglasiti ugovor nevažećim to discharge a contract = osloboditi ugovorne obveze to annul a contract = poništiti ugovor to terminate a contract = raskinuti ugovor

Read the breach of contract letter (pp Read the breach of contract letter (pp. 161-162) and put the elements A-J in the right order: 1 2 3 4 5 6 7 8 9 10 H

1 2 3 4 5 6 7 8 9 10 H D B G F E I J C A

A Sales of Goods Contract Read the text (pp. 164-65). Find the expressions, italicised in the text, which mean the following: will be tried to find a solution for the disagreement obey the contract provisions make sure that the rights are observed give information in advance any damage or loss will be the liability of guarantee

will be tried = will be heard to find a solution for the disagreement = to resolve the dispute obey the contract provisions = comply with these provisions make sure that the rights are observed = to enforce the rights give information in advance = give notice any damage or loss will be the liability of = shall be incurred guarantee = warrant

Thank you for your attention!