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Which of the following is true with regard to the intention of the parties to an agreement to enter ...

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Which of the following is true with regard to the intention of the parties to an agreement to enter ...

Which of the following is true with regard to the intention of the parties to an agreement to enter into a legal relationship? Where appropriate, assume that all other elements necessary to form a contract are present.

▸ Parties may expressly state their intention to be legally bound, in which case the court need not rely on presumptions.

▸ The court will presume that there is always an intent to be legally bound in family situations.

▸ An intention to be legally bound is not a necessary element of a contract.

▸ The court makes presumptions about the intention of parties to be bound; whether that presumption may be rebutted by evidence to the contrary makes no difference to the court.

▸ Since family matters are private matters, an agreement between a husband and wife to transfer property from the husband to the wife could not be a contract even if all other elements of a contract are present.

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Legal Fundamentals for Canadian Business

Edition: 4^th

Author: Yates

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