Multiple choice

In the case of McGregor Vs. McGregor, (1888) 21 Q. B.D. 424, the wife withdrew her complaints as the husband entered into an agreement with her on the condition that if she withdrew her complaints and refrained from pledging his credit, he will pay her an allowance.

  1. The agreement is a social agreement and is not binding

  2. The agreement is a family agreement and is not a contract

  3. The agreement is based on love and affection and is binding

  4. Parties had the intention to have a binding contract between them
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

In McGregor v McGregor, the agreement between husband and wife to withdraw complaints in exchange for an allowance was held to be a domestic/social agreement not intended to create legal relations. English contract law presumes that agreements made in domestic or family contexts lack the intention to create legally binding obligations unless proven otherwise. This is the classic presumption against legal intention in family arrangements.

Keep practicing — related questions