FN311 Agricultural Accounting and Business Law Assessment Solutions
Number of Words: 1500
Jennifer aged 25 years is the granddaughter of Betty who lives by herself in Mount Gambier. Jennifer has just completed a degree in Psychology at the University of South Australia. Betty promises Jennifer that if she leaves Adelaide and moves to Mount Gambier to live with her she will transfer her house into Jennifer’s name. Jennifer leaves her mum and dad, boyfriend and a job she held at the Service to Youth Council. She arrives in Mount Gambier and cannot find any work as a psychologist, but she obtains work part time as a waitress in a café.
Betty refuses to honour her promise regarding transferring the house to Jennifer who wants to sue her grandmother for breach of contract. Advise Jennifer.
On 1 February 2020 Sanche wrote to Richard offering to sell him his 1974 Holden Monaro for $60,000 and specifies that ‘the offer will remain open until 5pm on 3 February 2020’. Richard receives the letter at 10 am on 3 February and tries immediately to phone Sanche. He does not answer, and Richard leaves a message on his message bank saying he was interested in buying the Monaro but was only willing to pay $55,000.
At 10.30 am the same morning, Richard changes his mind about how much he is willing to pay for the car. He sends an email to Sanche saying, ‘Disregard, my earlier phone message. I accept your offer to sell your 1974 Monaro car for $60,000’.
Sanche does not check his email at all on the 3 February but does check his phone message bank. He listens to the voice message from Richard and immediately sells the car to Bradley whom he has also been negotiating with.
On 4 February at 9 am he opens his emails and reads Richard’s message.
Advise the parties.
Mr and Mrs Lee provide a guarantee to a bank over a loan for a motor vehicle purchased by their son Lim. Lim subsequently defaults on his repayments and the bank seeks to enforce the guarantee against his parents. At the time the guarantee was entered into, neither parent had a good grasp of the English language, both were elderly and they received no independent legal advice. Mr and Mrs Lee believed that the extent of their liability was far more limited than it was. Upon what grounds could it be argued that reality of consent is missing from the guarantee agreement?
What would be the likely status of the agreement?
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