QUESTION 3

Ash has a 2010 Range Rover which was given to his as a birthday present 10 years ago. The Range Rover is very rare as it came with special edition components and parts and the current market value could reach RM300,000. At this time, he really needs money to pay for his housing loan as he had to quit his job to help his father in the hometown. He then decided to sell his 2010 Range Rover and he knows a few friends who previously have been asking if he wants to sell the car to them. On 3rd of June 2020 he calls Nadia and offers to sell his 2010 Range Rover for RM145,000. Nadia says she needs to think about it and Ash says he would keep the offer open until the 15th June. On the 6th June, Nadia makes another call to Ash and says she would buy it for RM130,000 and Ash replies "I am sorry it's impossible!" . On the next day, Ash sold the Range Rover to Maisarah. On the 14th June, Nadia calls Ash and she accepted Ash's offer to sell the Range Rover for RM145,000. Ash says "I have already sold the car to Maisarah" . Nadia then says that Ash had promised to keep the offer open until the 15th June and therefore had breached his contractual obligations by selling it to Maisarah. ADVISE Ash whether there is a legally binding contract between him and Nadia. (10 marks)

QUESTION 4

The principle is that one must take reasonable care to avoid acts or omissions that could reasonably be foreseen as likely to injure one's neighbour. Explain how the existence of duty of care is tested in Donoghue v Stevenson case. (6 Marks)

QUESTION 5

Mr. Ash is an owner of a supermarket in Kuala Perlis, Perlis. He has been selling fresh fruits and vegetables to mini retailers in Peninsular Malaysia. The crops were harvested and freshly picked from his personal 100 acres farm in Kuala Perlis. One day, he received a large order from AEON Hypermarket in Kuala Lumpur and he had instructed Ms. Harrison, his truck driver to deliver 50 cartons of aubergine, 20 cartons of zucchini, 20 cartons of cherry tomato, 20 cartons of freshly picked cilantro leaves and 100 cartons of bananas. The cartons were supposed to arrive in Kuala Lumpur on Monday, 11am. However, on her way to Kuala Lumpur, there was a major incident approximately 100meter to Cameron Highland exit junction that had caused a massive congestion on the highway. Ms. Harrison was so worried that she could not make it on time to Kuala Lumpur. She was left with no choice but to park the truck by the side of the highway and started to think how she could save Mr. Ash from suffering losses as she was worried that the fruits and vegetables will go off and overripe before she can even deliver to AEON Hypermarket. After much thinking, she decided to sell as many as possible to the people in the vicinity at a lower price. Advise Ms. Harrison If she would be liable for any claim made by Mr. Ash due to her decision. (17 Marks)

QUESTION 6

Section 27 of the Sale of Goods Act 1957 codifies the nemo dat quod non habet rule which means 'no one can give a better title than himself. This means that if goods are bought from a person who is not a owner, and who does not sell them under the owner's authority, the buyer does not acquire any title' - Lim Chui Lai v Zeno Ltd and Ng Ngat Siang v Arab-Malaysian Finance Bhd & Anor. State and explain THREE (3) exceptions to the above rule. (6 Marks)