Analyse a number of legal problems relating to the law of contract, and advise a client, making reference to appropriate case and statute law. Learning outcomes – U22296: On successful completion of this assignment, students will be expected, at threshold level, to be able to: 1 Access and use paper and electronic primary sources relating to contract law (LO2). 2 Identify the main principles of contract law and how they apply to the practice of a surveyor (LO4). 3 Apply the principles identified in outcome 4 to actual and hypothetical legal problems and advise as to their likely outcome (LO5). Learning outcomes – U25991: On successful completion of this assignment, students will be expected, at threshold level, to be able to: 1 Access and use paper and electronic primary sources relating to contract law (LO2). 2 Identify the main principles of contract law and how they apply to the practice of a surveyor (LO4). 3 Apply the principles identified in outcome 4 to actual and hypothetical legal problems and advise as to their likely outcome (LO6). Maximum total words: 1500
Objectives:
To analyse a number of legal problems relating to the law of contract, and advise a client, making reference to appropriate case and statute law.
Question 1
(a) Michelle owned some unwanted farmland. She recently offered to sell this land to Tom for £20,000. She expressed the offer to be open for two weeks. After a week, she changed her mind, deciding instead to keep the land and use it again for farming. Michelle asked her farm manager, George, to write to Tom before the two weeks were up revoking the offer. George followed Michelle’s instructions and sent the letter. Tom sent an email to Michelle the day after the letter of revocation was received, purporting to accept the offer. Tom insists that there is an agreement and that Michelle will be in breach of contract if she does not comply.
Advise Michelle as to the likelihood that Tom will succeed in his claim.
(b) Michelle later visits an auction to buy some farming equipment for her farm land. There were some large agricultural storage crates up for auction which Michelle had her eye on. She bid on the crates during the auction and went over the reserve price. She got very carried away bidding on the crates and only realised after the auctioneer’s hammer came down on her bid, that she did not have enough money to pay for the crates.
Advise Michelle as to whether she is now bound by a valid contract to buy the crates.
Question 2
Buildalot Builders Ltd (BBL) were contracted to build a block of flats by June 2017. They subcontracted the landscaping of the gardens to Green Fingers & Bros (GFB) for £25,000. Part way through the job, GFB met with the managing director of BBL to explain that they were having staffing issues due to a head gardener having been taken ill. GFB therefore needed to find someone else at short notice to take over the head gardener’s work, which would cause delay to the overall work. BBL had sold a number of the flats off-plan and would be penalised if they did not complete on time. With this in mind, BBL offered to pay an additional £10,000 to GFB, as long as GFB completed the work on time. GFB agreed to this.
GFB completed the work on time and to the satisfaction of BBL but BBL have refused to pay the additional money claiming there was no consideration for the additional payment. GFB are threatening to sue BBL for the additional £10,000 for the landscaping.
BBL also subcontracted the carpentry work on the new flats to Woody Woods Ltd (WW). WW completed its work on time and to the satisfaction of BBL. However, the fall in consumer confidence meant that BBL were concerned about selling some of the flats. They agreed with WW that they would pay them half the money owed immediately, and half in six months’ time. However, WW are now demanding the full balance in accordance with the original contract.
Advise BBL as to the likely success of GFB and WW.
Question 3
Doug is a private landlord with a number of properties. He recently acquired two large houses in separate parts of town which were in need of refurbishment. He entered into two separate contracts with a charity to refurbish the houses and to rent them to the charity so that they could be used as accommodation for young men who were overcoming drug and alcohol addiction. They need the houses to replace existing accommodation which is let on leases which are nearing their end. It is therefore important that both of the houses are ready by the end of August. The charity gave Doug a payment of £10,000 under each contract up front to assist with the building works. Once the houses are completed the charity have agreed to enter into leases for ten years at a rent of £30,000 per year. Doug engaged the services of two separate local builders to carry out the work and has paid each £15,000 for materials and the first phase of the work and will pay each the balance of £50,000 on completion. In July one of the houses was struck by lightning and completely destroyed. It is clearly not feasible for this house to be rebuilt in time. The charity has now negotiated new leases with their existing landlords, and is arguing that both contracts are frustrated.
Advise Doug as to whether the contracts with the charity and the builder are frustrated and, if so, what will happen with regard to the sums paid and payable under the contracts. If you decide that one or both of the contracts is not frustrated, consider the extent to which the charity may be in breach of contract.
Learning outcomes – U22296:
On successful completion of this assignment, students will be expected, at threshold level, to be able to:
1 Access and use paper and electronic primary sources relating to contract law (LO2).
2 Identify the main principles of contract law and how they apply to the practice of a surveyor (LO4).
3 Apply the principles identified in outcome 4 to actual and hypothetical legal problems and advise as to their likely outcome (LO5).
Learning outcomes – U25991:
On successful completion of this assignment, students will be expected, at threshold level, to be able to:
1 Access and use paper and electronic primary sources relating to contract law (LO2).
2 Identify the main principles of contract law and how they apply to the practice of a surveyor (LO4).
3 Apply the principles identified in outcome 4 to actual and hypothetical legal problems and advise as to their likely outcome (LO6).
Maximum total words: 1500
Reading / References:
APA (6thed.)
