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Verbal contract binding in Ireland?

  • 02-08-2007 11:37pm
    #1
    Closed Accounts Posts: 2,025 ✭✭✭


    I was just wondering if anyone knew if a verbal contract was binding in Ireland. Like say I was ordering an ethernet connection from a (dirty filthy incompetent annoying dirtbag) company and they asked me to agree to a 12 month contract over the phone saying that the phone call was being recorded for verification, does that stand up in court in this country or does it have to be in writing?


Comments

  • Closed Accounts Posts: 451 ✭✭Rhonda9000


    General rule: verbal agreement is sufficient to form a contract. There are obvious evidential benefits to having a written contract. Having a sound recording is acceptable - an electronic contract.

    Some contracts cannot be formed verbally - land transactions are the biggest example of this.

    In relation to your 12-month contract over the phone problem, I'm curious as to how the terms of the contract (if any; presumably there are) were incorporated / brought to your attention if they were intending to rely on same later. Usually these are so complex and numerous they are posted out after your phone call and there is some built in cooling off provision as a consumer cannot be expected to bind themselves without having reasonable notice of the terms.


  • Registered Users, Registered Users 2 Posts: 68,317 ✭✭✭✭seamus


    Rhonda9000 wrote:
    Usually these are so complex and numerous they are posted out after your phone call and there is some built in cooling off provision as a consumer cannot be expected to bind themselves without having reasonable notice of the terms.
    This is really key here - while a verbal contract can be technically binding, a person cannot agree to or sign a contract which contains terms that they were not informed of.

    Obviously it's not the same as the person simply not reading the terms - if the terms have been supplied to someone, and they agree without reading, then they're pretty much bound. If however, they are asked, "Do you agree with the terms of the agreement?", but they haven't been told/given the terms, then any answer is unbinding, a contract cannot be formed.


  • Registered Users, Registered Users 2 Posts: 78,580 ✭✭✭✭Victor


    Isn't there some sort of legislation for a cooling off period for distance contracts?


  • Closed Accounts Posts: 753 ✭✭✭Font22


    Victor wrote:
    Isn't there some sort of legislation for a cooling off period for distance contracts?[/QUOT

    SI No. 207 of 2001 covers distance selling. the consumer has a period of 7 days (cooling off period) in which they can pull out of the contract without giving a reason. that cooling off period can also be extended to up to three months.


  • Closed Accounts Posts: 451 ✭✭Rhonda9000


    Font22 wrote:
    Victor wrote:
    Isn't there some sort of legislation for a cooling off period for distance contracts?[/QUOT

    SI No. 207 of 2001 covers distance selling. the consumer has a period of 7 days (cooling off period) in which they can pull out of the contract without giving a reason. that cooling off period can also be extended to up to three months.

    The Distance Selling Directive does not apply here - there was human interaction on the phone between the business and the consumer (excluded). As far as I am aware, the distance contract must be concluded without any face-to-face interaction to be covered by the Distance Selling Directive.


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  • Closed Accounts Posts: 198 ✭✭sh_o


    Rhonda9000 wrote:

    The Distance Selling Directive does not apply here - there was human interaction on the phone between the business and the consumer (excluded). As far as I am aware, the distance contract must be concluded without any face-to-face interaction to be covered by the Distance Selling Directive.

    From the SI:

    “means of distance communication” means any method which, without the simultaneous physical presence of the supplier and the consumer, may be used for making a contract between those parties, including any method referred to in Annex I of the Directive which, for convenience of reference, is set out in Schedule 1;

    Annex 1:
    Means of communication covered by Article 2(4)
    ... Telephone with human intervention ...


    There are however certain types of contract that would be excluded and without full information (which wouldn't be appropriate on this forum), it is in my opinion impossible to say that the distance selling directive does not apply. Generally, from what was outlined in the original question I would think that the directive would apply


  • Registered Users, Registered Users 2 Posts: 1 nonicname


    .


  • Registered Users, Registered Users 2 Posts: 10,684 ✭✭✭✭Samuel T. Cogley


    Ask yourself a couple of questions - have you ever bought anything in a shop? Did you sign anything?

    That should answer the question as to whether verbal contracts were binding in 2007 or ten years later.


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