Gavin and Margaret (G&M) wish to purchase a house in country Victoria. G&M received in their letterbox

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Question:

Gavin and Margaret (G&M) wish to purchase a house in country Victoria. G&M received in their letterbox a sales/marketing brochure from a property developer, Country Estates Pty Ltd (CE). A new housing development, "Riverside Views", is advertised in this particular brochure. Also contained in this brochure are various statements, including the following: -

"a little slice of heaven - you'll think you've left earth and ended up in paradise"; and,

- "all fixed heating, air-conditioning, kitchen and laundry appliances will be quality European brands".

As with many other purchasers of residential real estate, G&M also wish to purchase "off the plan". Essentially, off the plan purchases involve the entering into a contract to purchase before the residential dwelling (e.g. house, apartment, unit, etc) is constructed. G&M negotiate with Peter Ray (PR), who is the managing director of CE. During the negotiations, PR reiterates and confirms with G&M all of the statements made in the brochure. G&M are keen foodies, and enjoy entertaining family and friends at home. They are especially happy that their new home will have quality European appliances installed, and feel very reassured after speaking with PR. Upon conclusion of the negotiations, PR arranges for the contract of sale to be signed by G&M. The contract of sale signed by the parties does not contain any reference to the installation of European brand appliances. The construction of the house was completed as per the contract, namely BY the 31st January 2021. G&M conduct the final inspection of the newly built home prior to moving in. To their utter disappointment, none of the installed appliances are from any recognised European manufacturer. Instead, all of the installed appliances are cheap imports from unknown manufacturers situated in Belarus and Mongolia. G&M seek your advice as to whether they have any legal rights under contract law in relation to the above statements in the brochure concerning the appliances. Your written advice must be logically structured in accordance with the IRAC approach to problem-based, case study questions. Refer only to relevant case law principles; do not refer to any statutory principles (such as statutory remedies under the Australian Consumer Law).