(a) Muldoon contracted with concert promoter, Bronson, to provide 2,000 souvenir T-shirts for sale at a...

  

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(a) Muldoon contracted with concert promoter, Bronson, to provide 2,000 souvenir T-shirts for sale at a concert by the neogrunge techno funk group, Axle Bolt. The T-shirts were to be supplied by 1 April, the day of the concert. Muldoon, however, ran into difficulties with his own suppliers based in East Malaria. As a result of the collapse of the Malarian peso they demanded a 25% increase in their contract price with Muldoon. Muldoon refused to increase the price and started to look elsewhere for alternative suppliers. When Bronson heard of this he panicked because he did not believe that Muldoon would be able to find an alternative source of supply within the time remaining before the concert. He offered to increase the contract price by $7,000 in order to ensure the supply of the T-shirts on time. Muldoon accepted. On that basis, he negotiated a small increase of the price in his contract with the Malarian suppliers who duly delivered the shirts to Muldoon who in turn to Bronson. The concert was rained out and the sale of the T-shirts was not as successful as Bronson had hoped. Bronson now refuses to pay Muldoon the extra $7,000 promised. Advise Muldoon as to whether he is entitled to claim the $7000 from Bronson, and why. (b) Tony, the secretary of the Axle Bolt fan club, had already placed orders for 500 T-shirts with Bronson on behalf of members of the club. He too was concerned about the possibility of the non-delivery of the shirts. Tony was running for president of the club and believed that the timely supply of the shirts would enhance his chances of election. He promised Muldoon that he would pay $500 if he delivered the shirts on time to Bronson. The shirts were delivered on time. Two weeks ago, Tony met with Muldoon saying that he could not afford to pay the full amount but offering to pay $200 "as a last and final offer to settle all outstanding matters between us." Muldoon agreed to that and accepted the money. Now Muldoon wants the unpaid $300, and Tony's arguments are that: (1) He did not owe $500 to Muldoon in the first place because his promise to pay Muldoon was not supported by consideration and all Muldoon had done was performance of existing contractual obligations; and (2) If he did owe $500, the debt was discharged by his payment of $200 which was accepted by Muldoon. How much can Muldoon recover from Tony and why? (c) (The facts are the same as in (a) except for the following.) Despite the difficulties with his own supplier, Muldoon managed to deliver the T-shirts to Bronson on time (and without any promise of extra payment from Bronson). The concert was a great success, and so was Bronson's sale of the T-shirts. One week after the concert, Bronson told Muldoon: "I do appreciate your extra efforts and expenses in getting the supply. As a gesture of goodwill, I will pay you extra $7000 for the T-shirts at the end of this months." Muldoon, of course, accepted the offer. The end of the month came and went. But Bronson has refused to pay the 99 extra. Is Muldoon entitled to demand the $7000? (a) Muldoon contracted with concert promoter, Bronson, to provide 2,000 souvenir T-shirts for sale at a concert by the neogrunge techno funk group, Axle Bolt. The T-shirts were to be supplied by 1 April, the day of the concert. Muldoon, however, ran into difficulties with his own suppliers based in East Malaria. As a result of the collapse of the Malarian peso they demanded a 25% increase in their contract price with Muldoon. Muldoon refused to increase the price and started to look elsewhere for alternative suppliers. When Bronson heard of this he panicked because he did not believe that Muldoon would be able to find an alternative source of supply within the time remaining before the concert. He offered to increase the contract price by $7,000 in order to ensure the supply of the T-shirts on time. Muldoon accepted. On that basis, he negotiated a small increase of the price in his contract with the Malarian suppliers who duly delivered the shirts to Muldoon who in turn to Bronson. The concert was rained out and the sale of the T-shirts was not as successful as Bronson had hoped. Bronson now refuses to pay Muldoon the extra $7,000 promised. Advise Muldoon as to whether he is entitled to claim the $7000 from Bronson, and why. (b) Tony, the secretary of the Axle Bolt fan club, had already placed orders for 500 T-shirts with Bronson on behalf of members of the club. He too was concerned about the possibility of the non-delivery of the shirts. Tony was running for president of the club and believed that the timely supply of the shirts would enhance his chances of election. He promised Muldoon that he would pay $500 if he delivered the shirts on time to Bronson. The shirts were delivered on time. Two weeks ago, Tony met with Muldoon saying that he could not afford to pay the full amount but offering to pay $200 "as a last and final offer to settle all outstanding matters between us." Muldoon agreed to that and accepted the money. Now Muldoon wants the unpaid $300, and Tony's arguments are that: (1) He did not owe $500 to Muldoon in the first place because his promise to pay Muldoon was not supported by consideration and all Muldoon had done was performance of existing contractual obligations; and (2) If he did owe $500, the debt was discharged by his payment of $200 which was accepted by Muldoon. How much can Muldoon recover from Tony and why? (c) (The facts are the same as in (a) except for the following.) Despite the difficulties with his own supplier, Muldoon managed to deliver the T-shirts to Bronson on time (and without any promise of extra payment from Bronson). The concert was a great success, and so was Bronson's sale of the T-shirts. One week after the concert, Bronson told Muldoon: "I do appreciate your extra efforts and expenses in getting the supply. As a gesture of goodwill, I will pay you extra $7000 for the T-shirts at the end of this months." Muldoon, of course, accepted the offer. The end of the month came and went. But Bronson has refused to pay the 99 extra. Is Muldoon entitled to demand the $7000? (a) Muldoon contracted with concert promoter, Bronson, to provide 2,000 souvenir T-shirts for sale at a concert by the neogrunge techno funk group, Axle Bolt. The T-shirts were to be supplied by 1 April, the day of the concert. Muldoon, however, ran into difficulties with his own suppliers based in East Malaria. As a result of the collapse of the Malarian peso they demanded a 25% increase in their contract price with Muldoon. Muldoon refused to increase the price and started to look elsewhere for alternative suppliers. When Bronson heard of this he panicked because he did not believe that Muldoon would be able to find an alternative source of supply within the time remaining before the concert. He offered to increase the contract price by $7,000 in order to ensure the supply of the T-shirts on time. Muldoon accepted. On that basis, he negotiated a small increase of the price in his contract with the Malarian suppliers who duly delivered the shirts to Muldoon who in turn to Bronson. The concert was rained out and the sale of the T-shirts was not as successful as Bronson had hoped. Bronson now refuses to pay Muldoon the extra $7,000 promised. Advise Muldoon as to whether he is entitled to claim the $7000 from Bronson, and why. (b) Tony, the secretary of the Axle Bolt fan club, had already placed orders for 500 T-shirts with Bronson on behalf of members of the club. He too was concerned about the possibility of the non-delivery of the shirts. Tony was running for president of the club and believed that the timely supply of the shirts would enhance his chances of election. He promised Muldoon that he would pay $500 if he delivered the shirts on time to Bronson. The shirts were delivered on time. Two weeks ago, Tony met with Muldoon saying that he could not afford to pay the full amount but offering to pay $200 "as a last and final offer to settle all outstanding matters between us." Muldoon agreed to that and accepted the money. Now Muldoon wants the unpaid $300, and Tony's arguments are that: (1) He did not owe $500 to Muldoon in the first place because his promise to pay Muldoon was not supported by consideration and all Muldoon had done was performance of existing contractual obligations; and (2) If he did owe $500, the debt was discharged by his payment of $200 which was accepted by Muldoon. How much can Muldoon recover from Tony and why? (c) (The facts are the same as in (a) except for the following.) Despite the difficulties with his own supplier, Muldoon managed to deliver the T-shirts to Bronson on time (and without any promise of extra payment from Bronson). The concert was a great success, and so was Bronson's sale of the T-shirts. One week after the concert, Bronson told Muldoon: "I do appreciate your extra efforts and expenses in getting the supply. As a gesture of goodwill, I will pay you extra $7000 for the T-shirts at the end of this months." Muldoon, of course, accepted the offer. The end of the month came and went. But Bronson has refused to pay the 99 extra. Is Muldoon entitled to demand the $7000? (a) Muldoon contracted with concert promoter, Bronson, to provide 2,000 souvenir T-shirts for sale at a concert by the neogrunge techno funk group, Axle Bolt. The T-shirts were to be supplied by 1 April, the day of the concert. Muldoon, however, ran into difficulties with his own suppliers based in East Malaria. As a result of the collapse of the Malarian peso they demanded a 25% increase in their contract price with Muldoon. Muldoon refused to increase the price and started to look elsewhere for alternative suppliers. When Bronson heard of this he panicked because he did not believe that Muldoon would be able to find an alternative source of supply within the time remaining before the concert. He offered to increase the contract price by $7,000 in order to ensure the supply of the T-shirts on time. Muldoon accepted. On that basis, he negotiated a small increase of the price in his contract with the Malarian suppliers who duly delivered the shirts to Muldoon who in turn to Bronson. The concert was rained out and the sale of the T-shirts was not as successful as Bronson had hoped. Bronson now refuses to pay Muldoon the extra $7,000 promised. Advise Muldoon as to whether he is entitled to claim the $7000 from Bronson, and why. (b) Tony, the secretary of the Axle Bolt fan club, had already placed orders for 500 T-shirts with Bronson on behalf of members of the club. He too was concerned about the possibility of the non-delivery of the shirts. Tony was running for president of the club and believed that the timely supply of the shirts would enhance his chances of election. He promised Muldoon that he would pay $500 if he delivered the shirts on time to Bronson. The shirts were delivered on time. Two weeks ago, Tony met with Muldoon saying that he could not afford to pay the full amount but offering to pay $200 "as a last and final offer to settle all outstanding matters between us." Muldoon agreed to that and accepted the money. Now Muldoon wants the unpaid $300, and Tony's arguments are that: (1) He did not owe $500 to Muldoon in the first place because his promise to pay Muldoon was not supported by consideration and all Muldoon had done was performance of existing contractual obligations; and (2) If he did owe $500, the debt was discharged by his payment of $200 which was accepted by Muldoon. How much can Muldoon recover from Tony and why? (c) (The facts are the same as in (a) except for the following.) Despite the difficulties with his own supplier, Muldoon managed to deliver the T-shirts to Bronson on time (and without any promise of extra payment from Bronson). The concert was a great success, and so was Bronson's sale of the T-shirts. One week after the concert, Bronson told Muldoon: "I do appreciate your extra efforts and expenses in getting the supply. As a gesture of goodwill, I will pay you extra $7000 for the T-shirts at the end of this months." Muldoon, of course, accepted the offer. The end of the month came and went. But Bronson has refused to pay the 99 extra. Is Muldoon entitled to demand the $7000?

Answer rating: 100% (QA)

Yes its classic case of Williams v Roffey Bros He is simply promising to pay more money to perform what he has already agreed to do Under the old law ... View the full answer