COLLINS, Hugh, The Law of Contract

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The Law of Contract

Third Edition
HUGH COLLINS
Professor of English Law
London School of Economics and Political Science

Butterworths
London, Edinburgh.Dublin
1997
Contents

Preface to the Third Edition v


Acknowledgements vii
Table of statutes xiii
Table of cases xvii
Chapter 1 Contract and Market 1
1 The Classical Law of Contract 3
2 Towards a New Conception 7
3 The Market Order 10
4 The Constitution of the Market 15
Chapter 2 The Transformation of the Law of Contract 21
1 The Social Market 22
2 Materialization and Differentiation 36
3 Globalization and Sources of Law 41
Chapter 3 Tests of Enforceability 46
1 Purposes of Tests of Enforceability 46
2 Evidence and Formalities 49
3 Illegality and Public Policy 51
4 Public and Private 53
5 The Contractualization of Social Life 55
Chapter 4 Consideration and The Exchange Model 56
1 The Concept of Consideration 56
2 Intention to Create Legal Relations 64
3 Rationale of Consideration 66

Chapter 5 Estoppel and the Reliance Model 71


1 The Concept of Reliance 71
2 The Classification of the Reliance Model 80
3 Rationale of the Reliance Model 85
Chapter 6 The Contractualization of Social Life 89
1 The Faith in Markets 89
x Contents
2 Legal Techniques for Controlling the Scope of
Contracts 90
3 Justifications for Limits on Contractual
Obligations 96
4 The Purpose of Markets 101

Chapter 7 Ascription of Contractual Responsibility 108


1 The Idea of Consent 108
2 Objective Test of Consent 111
3 Common Mistake 116
4 Consent by Remote Parties 119
5 The Boundaries of Contract 125

Chapter 8 Coercion and Competitive Markets 128


1 Voluntary Consent 131
2 Duress 132
3 Undue Influence 136
4 Affirmation and Bars to Rescission 142
5 Protection of Competitive Markets 143

Chapter 9 The Moment of Responsibility 148


1 Offer and Acceptance 150
2 Instrumentalism 159
3 Pre-Contractual Responsibility 165

Chapter 10 The Duty to Negotiate with Care 168


1 Misleading Statements 171
2 Failure to Disclose Information 185
3 Abuse of Positions of Trust 195
4 Misuse of Confidential Information 197
5 Misleading Implied Promises 198
6 Rationale for the Duty to Negotiate with Care 202

Chapter 11 Terms 206


1 Incorporation 208
2 Oral Agreements 209
3 Interpretation 212
4 Implied Terms 221

Chapter 12 Mandatory Obligations 229


1 The Social Dimension of Markets 229
2 The Use of Compulsory Obligations 231
3 Compulsory terms 233
4 Statutory Invalidity 235
5 Judicial Discretion over Exclusion Clauses 237
6 Agency Discretion 245
7 Negotiated Regulation 247
Contents xi
Chapter 13 Fairness 251
1 Three Concepts of Fairness 252
2 Fairness in the Common Law 253
3 Statutory Controls 265
4 Judicial Revision 273

Chapter 14 The Range of Liability 283


1 Privity of Contract 283
2 Parties to the Contract 289
3 Rationale of Privity 291
4 Objections to Privity 296
5 Reform 302

Chapter 15 Co-operation 306


1 Performance 309
2 Modification 315
3 Termination for Breach of Contract 331

Chapter 16 Agreed Remedies 338


1 Freedom and Control 339
2 Fixed Measure of Compensation 341
3 Security 352
4 Guarantees and Indemnities 364
5 Forum 366

Chapter 17 Judicial Remedies 368


1 Settlements 369
2 Considerations Shaping Judicial Remedies 370
3 Damages 376
4 Compulsory Performance 394

Index 403

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