Problem 1 (25 marks) Cratchit has sold Christmas trees for the past five years. Each year he had purchased the trees from Marley who had a small tree farm in Northern Ontario. In order to ensure that he would have an adequate supply, Cratchit entered into a contract with Marley on September 15 to purchase all of her available trees at a price of $30.00 per tree. The contract read as follows: "Cratchit agrees to purchase and Marley agrees to sell all of her Christmas trees (approximately 500) for $30.00 per tree. All trees are sold without warranty. Same terms as last year apply." On December 1, Marley cut the trees (which totalled 478), tagged them and placed them on the delivery truck. Orders were prepared directing the driver to make the delivery to Cratchit. Marley texted Cratchit to advise that the trees were on the way. Later that day the delivery truck slid off the road, resulting in the destruction of the trees. Cratchit purchased 500 "Douglas Pine" trees from another supplier at $40.00 per tree. Subsequently Cratchit received an invoice from Marley for the full purchase price of $14,340.00. Upon further investigation, he has also discovered that 100 of the trees that were shipped were "Scotch Pine" trees and the balance were "Douglas Pine" trees. Cratchit's profit on the sale of "Douglas Pine" trees is $40.00/tree as opposed to $30.00/tree for "Scotch Pine" trees. In the previous years Marley had delivered only "Douglas Pine" trees. Cratchit refuses to pay and sues Marley for breach of contract. Marley counterclaims for the price of $14,340.00. Required: Explain the legal positions of Cratchit and Marley and the likely result. Be certain to cite all relevant legal principles including the relevant portions of the Sale of Goods Act