Alyssa grew up in a single parent family. Her father was killed in an accident when she was eight years old. Mary, her mother is the sole bread winner of the family. Alyssa is 17 years old and she has three younger siblings. Life was tough but this family of five managed to pull through all these years. Last June, this family suffered another misfortune when Mary was diagnosed with multiple sclerosis, an autoimmune disorder. Mary's condition was so serious that she had to give up her job in order to have sufficient rest to recover. The whole family was merely sustaining by relying on Mary's life savings. Luckily, Alyssa learnt some basic jewelry making skills and she started designing and making beaded jewelries for sale at a local flea market to support her family. Her unique designs of earrings, pendants, bracelets, anklets, mask chains and necklaces were an instant hit with her customers and her business prospered. She then ventured into making beaded jewelries with natural crystals and gemstones. She managed to source a few good suppliers for these natural crystals and gemstones. She informed the suppliers that she was 18 years old and that she carried the burden to support her younger siblings due to Mary's illness. Her siblings helped to promote her latest jewelries via various social media successfully. Due to Alyssa's prompt payments, the suppliers for her crystals, gemstones and jewelry findings began to extend credit terms for her purchases. Alyssa's customers loved her latest designs and she received so many praises for her creativity. She became more confident and ordered huge amounts of materials from her suppliers. She later regretted her decision as she came across many new similar businesses and realized the stiff competition of this business. She was concerned as to whether she would be able to pay for the supplies which she had taken delivery when the time comes. She shared her concerns with her cousin, Jonas who took Corporate and Business Law last semester. Jonas informed her that she need not worry as the suppliers would not be able to pursue a legal action against Alyssa and she need not return the supplies to them too. Alyssa wondered whether Jonas' statements were accurate.

Mary's condition finally improved by leaps and bounds and she managed to look for a new job. To celebrate this happy turn of events, Mary booked a city tour for the whole family with Holiday Tours Sdn Bhd ('Holiday'). Each package cost RM 399. Mary had fully paid Holiday. The highlight of this tour as advertised in the brochure provided by Holiday was a dinner at KC Restaurant which was recently awarded with one Michelin Star for their tasty, unique and high-quality cooking. The whole family was very excited. However, their excitement was ruined when Jenny, the manager of Holiday contacted Mary two days before the tour and informed the latter that the dinner at KC restaurant would be replaced with a seafood buffet due to unforeseen circumstances. The duration to cancel the tour packages had expired and Jenny was only willing to return RM 250 to Mary if she decided not to join the tour.Upon browsing the internet, Mary found complaints by previous customers of Holiday of similar incidents. Mary believed that this was a business tactic used by Holiday to attract business. Mary wanted to cancel the tour packages and recover the full amount that she had paid.

Based on the above facts, answer the following questions:

Question 1

Evaluate the legal accuracy of Jonas' statements.

 

   -5 point with explanation           

 

Question 2

Advise Mary in relation to her dispute with Holiday.

- 5 point with explanation

Answer rating: 100% (QA)

Answer Question 1 Jonas statements to Alyssa regarding the suppliers inability to pursue legal action against her and her not needing to return the su... View the full answer