Krystal has decided to sell her China teapot collection to her friend Shelli, who loves teapots....

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Krystal has decided to sell her China teapot collection to her friend Shelli, who loves teapots. On the 4th October, she posted a letter informing her of the offer, stating that she is selling the collection for $400,000.00 and she is to respond by post on or before October 15. Shelli received the letter on the 8th and responded immediately by posting her acceptance, stating she is willing to pay the full price and she would come on the 20% to pick them up. She also placed a cheque for $400,000.00 in the envelope. The letter, however, because of delays in the post, did not reach Krystal. Krystal on the 17 thought that Shelli was not interested and so decided to sell them to another friend Joan. Shelli has now come to collect the teapots. Krystal told her that because she did not hear from her she sold them. Shelli is very upset because she was looking forward to having this collection in her new home. She told Krystal that she had a contract with her and so is contemplating suing her. Krystal has come to you for advice. a. Identify three issues arising from the question. (3 marks)) b. Discuss the legal principles and support these with relevant cases. (10 marks) c. Apply the legal principles to the case. (5 marks) d. Advice Krystal. (2 marks) (20 marks) Krystal has decided to sell her China teapot collection to her friend Shelli, who loves teapots. On the 4th October, she posted a letter informing her of the offer, stating that she is selling the collection for $400,000.00 and she is to respond by post on or before October 15. Shelli received the letter on the 8th and responded immediately by posting her acceptance, stating she is willing to pay the full price and she would come on the 20% to pick them up. She also placed a cheque for $400,000.00 in the envelope. The letter, however, because of delays in the post, did not reach Krystal. Krystal on the 17 thought that Shelli was not interested and so decided to sell them to another friend Joan. Shelli has now come to collect the teapots. Krystal told her that because she did not hear from her she sold them. Shelli is very upset because she was looking forward to having this collection in her new home. She told Krystal that she had a contract with her and so is contemplating suing her. Krystal has come to you for advice. a. Identify three issues arising from the question. (3 marks)) b. Discuss the legal principles and support these with relevant cases. (10 marks) c. Apply the legal principles to the case. (5 marks) d. Advice Krystal. (2 marks) (20 marks)