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First Principles of Business Law |
| The contents of a contract |
| 2. Terms, opinions, puffery, and representations distinguished |
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2.2 Terms of the contract |
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Read the facts and the question and then choose the best answer. A, a painter, says to B: "I need to buy paint. I've got a job painting 1,000 square metres of wall and I don't want to spend more than $1000 on paint." B, a retailer, replies: "These 20 litre tubs of paint cost $100 each. 20 litres of this paint will cover 100 square metres of wall." A replies: "OK, I'll buy 10 tubs." Is it a term of this contract that 20 litres of the paint will cover 100 square metres of wall? |
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(a) Yes, because even though what B said appears to be only a statement of fact, the circumstances in which he made the statement justify inferring that it was intended as a promise. (b) No. B has not actually promised that each tub of paint will cover 100 square metres. He only made a statement of fact that this is so. Statements of fact are not promises. |
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