Question number four (25 marks)

Explain whether Hermes has a lawful right to cancel the commercial representation contract it has with Hani.

Hani owns a business concern which deals with the purchase and sale of women's handbags located on the premises of Malek in Zalka area. It is duly registered at the Commercial Register of Mount Lebanon in accordance with the legal requirements. On February 26, 2014. Hani signed a contract with "Hermes" which is a French manufacturer of leather, accessories and perfumes to become an exclusive representative for its unique leather handbags brand in Mount Lebanon district for 5 years. On July 5, 2019, Hani sold his business concern for $180,000 to Maria and immediately received the price although the lease contract between Hani and Malek stated that the leased premises cannot be subleased to a 34 party without the prior consent of the landlord. On the next day, Hani and Maria registered the sale in the Commercial Register and notified Malek about it. Moreover, it is worth noting that when Hani sold his business concern, he also transferred the commercial representation contract that he had with "Hermes" to Maria without the approval of "Hermes". Consequently, this latter cancelled the exclusivity contract. In addition, when Sami (one of the business concer's creditors) knew about the sale, he claimed a sum of $10,000 from Maria immediately