Upon advising Jan on her legal rights, certain issues need to be analysed to determine the possible outcomes of this case. Whether or not there is a valid and binding contract between Jan and the student cafeteria is the fundamental aspect to be considered. Therefore the first issue to be discussed is whether Jan and the student cafeteria actually ever came to an agreement. If so, when was it completed? Secondly, as Jan did not pay for her meal at the time of consumption will this affect the validity of the contract? Furthermore, is the exclusion clause legally enforceable? Was there a breach of contract? What legal rights does Jan have?.
IS THERE A CONTRACT?.
In order for a valid contract to exist, it must contain the following six elements; offer, acceptance, consideration, intention to create legal relations, certainty of terms, and capacity.
When Jan enters the student cafeteria to buy herself some lunch, she goes up to the counter and orders her food. The goods on offer are considered to be invitations to treat. This is illustrated in Pharmaceutical Society of Great Britain v Boots Cash Chemists (Southern) Ltd [1953] 1 QB 401 (Court of Appeal). In this case it was stated that the offer was made by the customer when presenting the items at the cash register. The goods on display merely represent an invitation to treat. "Therefore in most circumstances the retailer does not make an offer by displaying good for sale even where the goods are marked with a price." .
The offer is therefore made by Jan when she takes the food she has ordered to the cash register and purchases the meal. The student cafeteria accepts Jan's offer by allowing her to pay for the goods tomorrow.
Consideration applies to all contracts other than those made under seal or deed. Consideration must occur for a contract to exist. Consideration is present when there has been an exchange of a promise between the parties, which is sufficient and has value.
