Stephens v Myers
Case Name:
Stephens v Myers (1830)
Court:
Court of Common Pleas, England
Facts of the Case:
The defendant, Myers, was in a meeting and intended to propose a contract.
He made a preliminary statement of intention to enter into a contract but did not actually make a formal offer.
Stephens, the plaintiff, acted upon the statement and assumed a contract was being made.
Before Myers could make a definite offer, he refused to proceed further.
The dispute arose because the plaintiff claimed he was entitled to enforce the contract based on Myers’ preliminary statement.
Issue:
Whether a statement of intention to enter into a contract constitutes a legal offer that can be accepted.
Can the plaintiff enforce a contract if only preliminary negotiations or statements of intention were made?
Judgment:
The court held that Myers’ statement was not a legal offer, but merely an intention to negotiate or propose in the future.
Therefore, Stephens could not enforce a contract because there was no completed offer.
The statement did not create any binding legal obligation.
Legal Principle:
Intention vs. Offer:
A mere statement of intention to do something is not an offer.
A valid contract requires a definite offer and acceptance.
Preliminary Negotiations:
Preliminary discussions or negotiations are not binding.
Only when a clear and definite offer is made and accepted does a contract arise.
Case Citation Principle:
This case is often cited to distinguish pre-contractual statements from legally enforceable offers.
Importance / Significance:
Stephens v Myers is a leading case in contract law for understanding offers and invitations to treat.
It establishes that parties are not bound by statements of intention unless there is a clear offer capable of being accepted.
This case helps avoid premature claims in situations where negotiations are ongoing.
Summary in Simple Terms:
Myers said he intended to make a contract, but did not make a formal offer.
Stephens acted on that intention.
Court: No contract existed. Only a clear offer + acceptance creates a binding contract.
0 comments