Which of the following statements best explains why the courts use an objective test to determine whether or not there is an intention to create legal relations?

Question

Quizplus · Accepted Answer

The objective test is used to protect reasonable expectations, meaning that the court seeks to ensure that a reasonable person would have believed that the parties intended to create legal relations. By using this test, the court can ensure that the purpose of the contract law, which is to enforce agreements and protect reasonable expectations, is fulfilled. Option A is incorrect because the fairness of recognizing a contract is not dependent on subjective intentions, but rather on the objective test. Option C is incorrect because the objective test is used precisely because it is meant to help solve the issue of subjective intentions. Option D is incorrect because the courts cannot assume people do not lie in court. Option E is incorrect because the test used does not depend on the identity of the party.

Which of the Following Statements Best Explains Why the Courts