Mermaids Café & Bar P/L v Elsafty Enterprises P/L

[2010] QCA 271

Queensland Court of Appeal

Built by Barristers,
For Australian Law.

See how it works

Interrogate

Catchwords

1. Contract
2. › Formation of contractual relations
3. › Agreements contemplating execution of formal document
4. › Whether concluded contract
5. › Masters v Cameron categories
6. › Whether parties intended to be immediately bound
7. › Significance of signing handwritten document
1. Contract
2. › Formation of contractual relations
3. › Certainty and completeness of terms
4. › Whether agreement uncertain or incomplete
5. › Construction of informal document by reference to extrinsic documents
6. › Whether implied terms or considerations of reasonableness can supplement agreement

Quick Take

A handwritten document signed by parties at a settlement meeting, prepared using a solicitor's letter as an agenda, can constitute an immediately binding agreement within the first Masters v Cameron category, even where the parties contemplate a more formal document to follow. The act of signing, the fixing of specific performance dates, and the context of imminent trial are strong indicators of immediate binding intent. Terms that require objective verification (such as confirmation of valuer's figures or CPI calculations) do not render an agreement uncertain.