CIMA BA4 · Chapter 10 · Question 3 of 10
Under English law, which of the following is presumed NOT to be intended to create legal relations?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) An agreement between spouses living together about household expenses
Explanation
In domestic and social agreements there is a rebuttable presumption that the parties do not intend legal relations (Balfour v Balfour). In commercial agreements there is a strong presumption that they do. The presumption can be rebutted by evidence, for example where separated spouses make a formal agreement.
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