Exam 7: Intention to Create Legal Relations

Harambe Zoo decides to run a promotion offering commemorative gorilla coins with every purchase of a pair of entry tickets. Much to their horror, they soon learn that purchase tax will be imposed on the coins since visitors are deemed to have entered a contract of sale of the coins. The Zoo contends that the coins are meant as gifts and are thus exempt from the tax. Will their argument succeed?

Which of the following agreements is least likely to be recognised by the courts as being legally binding? Please select all that apply.

An agreement that states it shall not be enforced by the courts will always be void as contrary to public policy. Inorrect

Why are domestic agreements presumed not to be legally binding? Please select all that apply.

The burden of rebutting the presumption that legal intentions are intended in commercial transactions lies with the party who denies that any legal effect was intended.

The court will generally look at what the parties actually intended in assessing whether an agreement was meant to be legally binding or not.