On 1 March, Phuong and Sabine signed a contract at Sabine's offices in terms of which...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
On 1 March, Phuong and Sabine signed a contract at Sabine's offices in terms of which Phoung agreed to sell a Ford Tractor, 2022 model at the price of $45,000. According to the agreement, the tractor would be delivered to Sabine's office in New South Wales. It was agreed that the tractor would be sent by a ferry on 5 April and would be paid for by bank cheque when Sabine received it. Phoung spends $2,000 getting the tractor ready for delivery. However, on 3 April Phoung was informed that under regulations issued by the Commonwealth government to prevent the spread of plant diseases, the supply of goods across all the states in Australia has been prohibited. Phoung advises Sabine that he cannot deliver the tractor as promised, however Sabine insists that Phoung must make arrangements to send the tractor to Sabine's office in NSW. Phoung now has received a letter from Sabine's lawyer threatening a legal action for breach of contract if Phoung does not comply with the terms of the contract. The letter clearly states that "The contract was concluded before the Commonwealth Regulations were issued, hence our client (Sabine) demands delivery of the tractor." Required Explain the liability of Phoung under the contract. Discuss whether the contract has been discharged due to Commonwealth Regulations. In your answer, you will assume that a legally binding agreement has been made between the parties on 1 March. In your answer examine the appropriate remedy (if any) which Phoung and Sabine may seek from each other. On 1 March, Phuong and Sabine signed a contract at Sabine's offices in terms of which Phoung agreed to sell a Ford Tractor, 2022 model at the price of $45,000. According to the agreement, the tractor would be delivered to Sabine's office in New South Wales. It was agreed that the tractor would be sent by a ferry on 5 April and would be paid for by bank cheque when Sabine received it. Phoung spends $2,000 getting the tractor ready for delivery. However, on 3 April Phoung was informed that under regulations issued by the Commonwealth government to prevent the spread of plant diseases, the supply of goods across all the states in Australia has been prohibited. Phoung advises Sabine that he cannot deliver the tractor as promised, however Sabine insists that Phoung must make arrangements to send the tractor to Sabine's office in NSW. Phoung now has received a letter from Sabine's lawyer threatening a legal action for breach of contract if Phoung does not comply with the terms of the contract. The letter clearly states that "The contract was concluded before the Commonwealth Regulations were issued, hence our client (Sabine) demands delivery of the tractor." Required Explain the liability of Phoung under the contract. Discuss whether the contract has been discharged due to Commonwealth Regulations. In your answer, you will assume that a legally binding agreement has been made between the parties on 1 March. In your answer examine the appropriate remedy (if any) which Phoung and Sabine may seek from each other.
Expert Answer:
Answer rating: 100% (QA)
In addressing the situation between Phoung and Sabine we must examine the liability Phoung has under the contract how the Commonwealth Regulations impact the contracts enforceability and what remedies ... View the full answer
Related Book For
Posted Date:
Students also viewed these law questions
-
Googles ease of use and superior search results have propelled the search engine to its num- ber one status, ousting the early dominance of competitors such as WebCrawler and Infos- eek. Even later...
-
The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
-
A financial institution can borrow $100 million for 2 years at 3%. It plans to invest this money in a 1-year security with an interest rate of 4.8% per year. Calculate net interest income for the...
-
Kroger, a grocery store chain, wants to identify the ideal store layout for increasing store sales. Because it primarily uses two store designs, one a grid layout with vertical aisles divided by a...
-
Getting a physical examination at a physicians office involves a series of steps. The table below lists these activities and their average times. The activities can occur in any order, but the...
-
Investment Associates, Inc. (IA)2 started as a small firm in 2001 with four employees plus its owner, Jim Tower. The company specialized in providing financial investment and tax advice to its...
-
Reinterpret the endogenous growth model in this chapter as follows. Suppose that there are two groups of people in a country, the low-skilled workers and the high-skilled workers. The low-skilled...
-
Heart rate of an individual during moderate exercise can be approximated using the following formula: HR = RHR+EI HRIF where RHR = resting heart rate in beats per minute, El= level of exercise...
-
BREAK-FEAST Pvt Ltd, a food processing firm, has cake, biscuit, bread, burgers, etc in its product mix. Recently it introduced a new product, processed and formed potato chips. The chips are sold in...
-
Data concerning a recent period's activity in the Prep Department, the first processing department in a company that uses process costing, appear below: Materials Conversion 2,180 960 $ 14.76 $ 5.03...
-
In 2021, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $10,000,000. The road was completed in 2023. Information related to the contract is...
-
28,800 of his personal cash into the business account. Credit Debit 1210 1210 460 480 290 Des Supplies Supplies Exspense Supplies Utilities expense accounts payable allounts payable cash Cash 460 290...
-
1. Ann x n matrix is called nonsingular if it is the matrix of coefficients of a homogeneous system with a unique solution. Determine whether or not the following matrix is nonsingular. 2. Find all...
-
1. 2. 3. 1. 2. Complete the table by computing the future value and present value of an ordinary annuity given the following conditions. Future Value (F) Activity 1.2 Direction: Complete the table by...
-
An investor is considering buying the River Creek Apt in Brighton. The apartment building can be purchased for $2,500,000. It has 6 apartments currently generating an NOI of $22,000 (for each unit)....
-
Burberrys competitive advantage is through its differentiation strategy. What risk should Burberry remain aware of?
-
The accompanying table shows the relationship between workers hours of work per week and their hourly wage rate. Apart from the fact that they receive a different hourly wage rate and work different...
-
Use the concept of marginal utility to explain the following: Newspaper vending machines are designed so that once you have paid for one paper, you could take more than one paper at a time. But soda...
-
There is a debate about whether sterile hypodermic needles should be passed out free of charge in cities with high drug use. Proponents argue that doing so will reduce the incidence of diseases, such...
-
For each of the following sets of numbers, calculate a \(95 \%\) confidence interval for the mean ( \(\sigma\) known); before going through the steps in calculating the confidence interval, the...
-
Consider a 3 -year \(10 \%\) coupon bond. The underlying short rate of interest follows a lattice with initial value of \(R=1.15\) and then has an factor of 1.02 , a down factor of .99 , and...
-
Using the density function of the stopping time probability for a fixed \(\lambda\), find the average time to the first event over the entire interval \([0, \infty)\).
Study smarter with the SolutionInn App