Task 1: Contracts Scenario 1A Sarah Gillman has been looking at properties to buy in Whanganui and has found the ideal house in the suburb of Tawhero, which is being sold by Thomas Davies, the legal owner of the property. Both Sarah and Thomas are over 18. The property was listed for $875,000 and Sarah made an offer of $825,000, conditional on her getting a mortgage approved. Thomas had seen that property prices were rising in Whanganui and was keen to get the best price he could. He was confused about the amount Sarah was offering and wondered if he should wait and see if he could get a better offer from someone else. However, after discussions with his salesperson, Colin Taylor, Thomas agrees that he should accept Sarah's offer. Colin prepares a contract of sale that he wants Sarah to sign, but she is hesitant and unsure about the contract's contents and its implications and wants them explained. Analyse the scenario and answer the following questions. a. What is the intention to create legal relations in this scenario and how is it demonstrated by the parties involved? b. Identify the offer and acceptance in this scenario. c. Explain the concept of contractual capacity and how this was evidenced in this scenario. d. Explain the four elements that would prevent either party giving genuine consent in a contract and explain if this was evident in this scenario for both Sarah and Thomas. e. What is the legality of purpose in this scenario and why is it significant in a contract? (Total word count guideline: 250 words)