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Foley v Classique Coaches Ltd [1934]

Facts

  • Foley sold Classique coaches a plot of land, on the condition that they purchase all petrol from him
  • 3 years’ later, Classique Coach’s lawyer said the contract was void due to uncertainty in its terms, namely that no price had been agreed for fuel prices
  • Classique coaches started purchasing fuel from elswhere
  • Foley attempted to sue for breach of contract

Issue

  • If no price is quoted, is a contract void

Decision

  • Contract was not void, it was breached

Reasoning

  • An agreement to make an agreement is not binding, however part performance indicates reliance on the contract, making it binding
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