Question: this is a law question QUESTION 2 - Assume DJ PP and Khan made the decision to incorporate and to appoint themselves as the only

this is a law question

QUESTION 2 - Assume DJ PP and Khan made the decision to incorporate and to appoint themselves as the only Directors and Shareholders of their new company 'Rainforest Raves Pty Ltd' ('RR'). They also decided to create their own company constitution that would reflect, not only their shared love for dance music, but also their passion for saving the world's rain forests. To do this, they included a term in their constitution which read, "Rainforest Raves Pty Ltd ('RR') will only do business with contractors and suppliers that are carbon neutral". Unfortunately, whilst placing an order for toilet paper, the club's receptionist failed to check the supplier's carbon status and accidentally placed a large order with 'Rainforests-R-Stupid Pty Ltd'-a company notorious for destroying the environment. With reference to legal authority, analyse whether the contract between RR and 'Rainforests-R-Stupid Pty Ltd is valid in light of the receptionist's breach of the company constitution. (6 marks)

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