Magnus employs sales staff who travel from door to door selling Magnus handsets. Magnus's contracts are designed so that customers lease the hand set for $150 a month for 24 months. Term 10 provides: "if a monthly payment is not made within 5 days of its due date, the customer will incur a $700 late administration fee which fee will accrue by $20 a day for each day the monthly payment and the late administration fee remain unpaid" You have signed the contract. After 8 months of making timely payments you lose your job and cannot pay the July monthly $150 payment. After two weeks Magnus start phoning you insisting you owe them $1130 which amount is increasing each day it remains unpaid. 

Apply s 23 to Determine whether you might avoid having to pay this amount .Write in ILAC method

Answer rating: 100% (QA)

Issue The issue is whether the customer who has lost their job and cannot make the July monthly payment of 150 for the Magnus handset can avoid paying ... View the full answer