Martin is a lobster fisherman on the south coast of Victoria. He had a relationship with a seafood importer in China however sales to China are lower than in the past. Martin engages an international seafood broker, Seafood Connections, to act as his agent and sell his excess stock of lobsters into other markets.

Martin tells Seafood Connections to sell 1,000 kilos of lobster as quickly as possible as long as the price is above $200 per kilo. Seafood Connections contacts seafood wholesalers in a number of countries and manages to sell the whole 1,000 kilos to wholesalers in New York for $250 per kilo.

Seafood Connections updates Martin with the good news, however Martin is unhappy. Martin now believes he would be able to get $300 per kilo if the lobsters were sold in Europe.

Unbeknownst to Martin, Seafood Connection assumed that Martin would have additional supplies of lobster and went ahead and entered contracts to sell lobsters in Europe for $275 on behalf of Martin as his agent.

Advise Martin about whether he is bound to the New York contract Seafood Connection negotiated.

Use relevant court cases to support your answer.

Answer rating: 100% (QA)

It is likely that Martin is bound to the New York contract ... View the full answer