Parker vs Clarke
(1960) 1 WLR 286
Case Summary
[Agreement]

Facts
Mr. and Mrs. Parker were a young couple close to Mr. and Mrs. Clarke, an elderly couple. The Clarkes invited the Parkers to live with them, promising that if the Parkers sold their own home and moved in, the Clarkes would eventually leave them their house and property in the will. The Parkers agreed, sold their house, and moved in. However, after a falling out, the Clarkes asked the Parkers to leave. The Parkers sued, seeking to enforce the agreement.
Issues
1. Did the agreement between the Parkers and the Clarkes intend to create legal relations, making it enforceable in court?
2. Was the reliance by the Parkers on the Clarkes’ promise significant enough to bind the Clarkes to their word?
Principle
The court considered whether the agreement between the parties demonstrated an intention to create legal relations, which is essential for enforcing a contract. In domestic and social agreements, there is a presumption that parties do not intend to create legal relations unless there is evidence to the contrary.
Judgement
The court ruled in favour of the Parkers. It held that there was a clear intention to create legal relations. The actions taken by the Parkers—selling their house and moving in—constituted significant reliance on the promise made by the Clarkes. This reliance made the agreement legally enforceable, and the Parkers were entitled to damages. The case demonstrated that if a party acts significantly to their detriment based on a promise, the agreement can be seen as having a legal effect, even in a family-like arrangement
Ishika Tanwar
Commenti