Is a contract that specifically contemplates the execution of a formal contract valid?
Alberta, Canada
The following excerpt is from Beechinor v. Beechinor, 2004 ABQB 7 (CanLII):
In referring to a document or contract which specifically contemplates the execution of a formal contract, “it is a question of construction whether the execution of the further contract is a condition or term of the bargain or whether it is a mere expression of the desire of the parties as to the manner in which the transaction already agreed to will in fact go through.” (Von Hatzfeldt-Wildenburg v. Alexander, [1912] 1 Ch. 284 as per Parker, J. at 288-289.)
"The most advanced legal research software ever built."
The above passage should not be considered legal advice. Reliable answers to complex legal questions require comprehensive research memos. To learn more visit www.alexi.com.
Other Questions
In what circumstances will a party be bound by the elements of a contract where the contract is not enforceable when the contract was signed? (Alberta, Canada)
Is a contract enforceable for breach of contract when the contract is not enforceable? (Alberta, Canada)
Can an assignee or assignee of a vendor under a conditional sales contract, and if so, what are the consequences if the vendor decides to cancel the contract? (Alberta, Canada)
Does an agent have to be personally liable on a contract where the principal of the contract is not personally liable? (Alberta, Canada)
Is Ex. 3 a validly executed document? (Alberta, Canada)
Can a party who dictates different terms for a contract already formed be considered to be refusing to perform the contract as written? (Alberta, Canada)
What is the meaning of a contract law case in contract law? (Alberta, Canada)
How have the courts interpreted the meaning of the word "contract" in the context of an enforceable contract? (Alberta, Canada)
What is the test for a contract where a party contracts to cut for a quantity of wood and haul and deliver the wood at a time and to a place mentioned? (Alberta, Canada)
How has contract law been interpreted in the context of tenders in construction contracts? (Alberta, Canada)
