Wright v Somerton

Wright v Somerton is a case that came before the court regarding the sale of a half share in a business. The dispute between the parties centred around whether a binding contract had been formed. The court was tasked with determining the nature of the correspondence between the parties and whether it constituted an offer and acceptance leading to a binding agreement. The case involved a series of communications between the solicitors of the parties, with the primary focus on whether these communications amounted to a binding contract or were merely part of the negotiation process.

The court had to decide whether the solicitors' correspondence constituted an offer and acceptance, or whether they were simply preliminary negotiations that did not give rise to a binding agreement. Specifically, the court needed to determine whether the parties had reached a point where they had agreed on all essential terms, or if they were still in the process of negotiating those terms. This involved examining the language used in the correspondence, the context of the communications, and whether there was a clear intention to be bound by the terms discussed.

The court found that the correspondence between the parties did not amount to a binding contract. The language used in the correspondence was indicative of ongoing negotiations, with several terms still to be agreed upon. The court held that the solicitors' correspondence was best categorised as part of the negotiation process and did not constitute an offer and acceptance leading to a binding agreement. As such, the court ruled that no binding contract had been formed between the parties at that stage.

The court invited further submissions from the parties on the matter. This indicates that the court was open to additional arguments and evidence that could clarify the intentions of the parties and the nature of their communications. The final orders of the court are yet to be determined pending the outcome of these further submissions.